PRE-MARKET
The Reserve Bank of India will absorb surplus liquidity from a special forex swap facility. This absorption will occur through higher currency in circulation and maturing forward positions. Banking system liquidity is expected to peak in September due to FCNR(B) deposit inflows. Economists anticipate a surplus of around ₹4-5 lakh crore in the banking system. The central bank will then begin wit….
Liquidity to peak in Sept, but big surplus won't last long: RBI
Impact Score
Market Sentiment
→NeutralPrimary Sectors
The Reserve Bank of India will absorb surplus liquidity from a special forex swap facility. This absorption will occur through higher currency in circulation and maturing forward positions. Banking system liquidity is expected to peak in September due to FCNR(B) deposit inflows. Economists anticipate a surplus of around ₹4-5 lakh crore in the banking system. The central bank will then begin wit…
Key Highlights
The Reserve Bank of India will absorb surplus liquidity from a special forex swap facility.
This absorption will occur through higher currency in circulation and maturing forward positions.
Banking system liquidity is expected to peak in September due to FCNR(B) deposit inflows.
Source
Economic Times
Published
7h ago
Impact Score
85 / 100
Category
Banking
Moderate near-term volatility expected while markets assess implications for Banking.
What this means
No linked events found.