Under a large liquidity move in December 2025, RBI announced Open Market Operations (OMOs) and a specific swap auction. What was the specific objective of the 10 billion dollar (USD/INR) buy/sell swap announced on 23 December 2025?

Subject: General Awareness | Topic: Affairs | Difficulty: MEDIUM

Options

1. (A) To inject permanent rupee liquidity into the banking system without putting pressure on bond yields
2. (B) To absorb excess liquidity arising from foreign portfolio investment
3. (C) To facilitate internationalisation of the rupee by creating an offshore market
4. (D) To provide protection to public sector undertakings against oil price volatility

Verified Answer

Option (A): To inject permanent rupee liquidity into the banking system without putting pressure on bond yields

Practice complete mock tests for SSC, Banking & Railway exams at https://testx.in/questions/01a0bf83-59c7-71e6-88b8-3fc1786a94e2/under-a-large-liquidity-move-in