RBI Injects Rs 50,000 Crore Liquidity via OMO Purchases

• The Reserve Bank of India (RBI) injected Rs 50,000 crore into the banking system on January 12.
• This injection was done by purchasing government securities through Open Market Operation (OMO) Purchase.
• The RBI bought various government securities, including 7.04% GS 2029 bonds and 6.64% GS 2035.
• The banking system currently has an estimated surplus of approximately Rs 29,872.34 crore as of January 11.
• This is part of a larger plan to inject Rs 2 lakh crore through four tranches of Rs 50,000 crore each.

Why It Matters: RBI injected Rs 50,000 crore into the banking system to boost liquidity through OMO purchases.