RBI Announces OMO Purchase of Government Securities Worth ₹50,000 Crore

The Reserve Bank of India (RBI) said it will conduct an Open Market Operation (OMO) purchase of Government of India securities worth ₹50,000 crore on March 9, 2026. The auction forms part of the central bank’s earlier plan to buy government bonds totalling ₹1 lakh crore. 

The programme will be carried out in 2 tranches of ₹50,000 crore each. The second auction is scheduled for March 13, 2026. The RBI said the decision follows a review of liquidity conditions and developments in financial markets. 

Securities Listed for Purchase 

The central bank will buy several government securities across different maturities through a multi-security auction using the multiple price method. 

The securities include 6.01% Government Security 2030 (maturing July 21, 2030), 6.10% Government Security 2031 (July 12, 2031), and 7.18% Government Security 2033 (August 14, 2033). 

Other bonds listed are 6.19% Government Security 2034 (September 16, 2034), 6.33% Government Security 2035 (May 5, 2035), 6.92% Government Security 2039 (November 18, 2039), and 7.30% Government Security 2053 (June 19, 2053). No security-wise allocation has been specified. 

Bidding Window and Settlement 

Eligible participants must submit bids electronically through the RBI’s E-Kuber system between 9:30 am and 10:30 am on March 9, 2026. The results of the auction will be announced on the same day. 

Successful participants must ensure that the securities are available in their Subsidiary General Ledger (SGL) accounts by 12 noon on March 10, 2026. 

The RBI said it may determine the quantity of each security it purchases. It may accept offers below the notified total amount or purchase marginally higher or lower quantities due to rounding adjustments.  

The central bank may also accept or reject any or all bids, either fully or partially, without assigning reasons. 

OMO and Liquidity in the Banking System 

Open Market Operations are used by central banks to manage liquidity in the financial system. Under this process, the RBI purchases government securities from banks and financial institutions. 

When such purchases take place, funds move into the banking system, which can ease liquidity conditions and support lending activity in the economy. 

Read More: States Set to Borrow ₹45,960 Crore via RBI SGS Auction on March 10! 

Conclusion 

The OMO purchases were first indicated in the RBI’s December 2025 monetary policy statement. Governor Sanjay Malhotra had said the central bank would conduct government security purchases worth ₹1 lakh crore. The March auctions form part of that liquidity management plan. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   
 
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.