Mumbai: The Reserve Bank of India (RBI) will conduct fine-tuning operations to manage unanticipated and one-off liquidity flows, Governor Shaktikanta Das said on Tuesday.
As the market settles down to regular operations, the RBI will conduct fine-tuning operations from time to time, as needed, to manage unanticipated and one-off liquidity flows so that liquid conditions in the system evolve in a balanced and evenly distributed manner, Das said.
He was speaking at a conference organized by the Fixed Income Money Market and Derivatives Association of India (FIMMDA) and the Primary Dealers' Association of India (PDAI).
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The governor said government securities are distinct asset classes, and it is important to appreciate the role of the g-sec market in the overall macro interest rate environment of the economy.
PTI
