Showcasing sustained demand for rupee liquidity amid changing market landscapes, the Reserve Bank of India (RBI) has received robust response for its USD/INR Buy/Sell swap auction with nearly twice subscriptions than the notified amount of $5 billion.
Participants in the auction placed bids totaling $9.80 billion against the announced $5 billion offer. The RBI received 254 bids at the auction and accepted 141 bids. The bid to cover ratio stood at 1.96. The cut-off premium was established at 910 paise, with weighted average premium of accepted bids at 920.64 paise.
Further, the partial allotment as percentage of competitive bids at cut-off premium stands at 18.10 per cent. The swap arrangement is set for a three-year term, with settlements planned for May 29, 2026, and May 29, 2029.
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