NEW DELHI The Reserve Bank of India (RBI) will step in to provide more liquidity into the market if the need arises, deputy governor with the central bank Keshab Chandra Chakrabarty said on Wednesday.
He declined to say whether the RBI will resort to buying bonds through open market operations to inject liquidity.
Borrowings in the daily repo auction have risen above 1 trillion rupees for six consecutive sessions, nearly double the deficit level seen as acceptable by the RBI.
(Reporting by Arup Roy Choudhury; Writing by Neha Dasgupta)
Trending On Reuters
Prime Minister Narendra Modi on Tuesday urged farmers to boost lentils and oilseeds output to cut expensive imports but skirted the issue of rural distress that has turned peasants against his one-year-old government. Full Article
Shake-up in key Samsung assets to cement heir's grip as succession looms Full Article