RBI to conduct six-month forex swap worth $2 billion – Gulf Today

RBI to conduct six-month forex swap worth $2 billion – Gulf Today

In a bid to ease the US dollar requirements of open market, the Reserve Bank of India (RBI) decided to conduct a six-month swaps worth $2 billion to provide liquidity to the foreign exchange market (forex).. The Reserve Bank's Governor Shaktikanta Das in Mumbai said that the swaps will be conducted through the auction route in multiple tranches.. In financial parlance, the swap action by the Reserve Bank will ease the US dollar requirements of the foreign exchange market at multiple price rates to stem the high volatility in INR-US exchange rates.. In a bid to ease the liquidity strain that might be caused due to the coronavirus outbreak and its subsequent economic fallout, the Reserve Bank of India on Monday decided to conduct more long term repo operations (LTROs).. Meanwhile the Indian industry body CII has urged the Reserve Bank of India (RBI) to announce an emergency rate cut of at least 50 basis points (bps) before the scheduled bi-monthly meeting of its Monetary Policy Committee (MPC) in April..