Liquidity Boost Ahead: RBI To Inject 500 Billion Rupees Via OMO Purchase

The RBI has confirmed that it will conduct an OMO purchase auction on January 12, 2026, amounting to 500 billion rupees. The central bank’s decision comes as part of its broader liquidity management strategy, ensuring smoother functioning of financial markets and supporting credit flow in the economy.  

Key Highlights  

• RBI will purchase multiple Government of India securities through a multi-security auction using the multiple price method.  
• The auction will include securities maturing between 2029 and 2053, such as 7.04% GS 2029, 6.79% GS 2031, and 7.30% GS 2053.  
• The central bank reserves the right to decide the quantum of purchase for individual securities.  
• This OMO purchase is part of a series of liquidity measures, including earlier tranches conducted in December 2025 and January 2026.  
• The move is expected to ease the liquidity deficit, which had recently crossed 62,000 crore rupees, and provide relief to banks facing funding pressures.  

Sources: Reserve Bank of India Press Release, The Hindu BusinessLine, Fortune India