Eligible participants can submit their bids in electronic format to the RBI between 10 am to 11 am on March 4
The RBI (Reserve Bank), on a review of current liquidity and financial conditions, has decided to conduct simultaneous purchase and sale of government securities under OMO (Open Market Operations) for an aggregate amount of Rs 15,000 crore each on March 4, 2021, RBI said in a release.
Simultaneous purchase and sale of government securities under OMOs, popularly known as Operation Twist, involves purchasing G-Secs of longer maturities and selling equal amounts of G-Secs of shorter maturities.
Eligible participants can submit their bids in electronic format to the RBI on its core banking solution (E-Kuber) system between 10 am to 11 am on March 4. Only in the event of system failure, physical bids would be accepted, RBI said. The names of successful bidders will be announced on the same day.
RBI said it reserves the right to decide the quantum of purchase/sale of individual securities, accept bids for less than the aggregate amount, as well as to accept or reject any or all bids either wholly or partially without giving any reasons.
The Reserve Bank will continue to monitor evolving liquidity and market conditions and take measures as appropriate to ensure orderly functioning of financial markets, it added.