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RBI absorbs nearly half of FY26 government borrowing via OMOs to support liquidity
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The Reserve Bank of India has bought 47% of the Centre's bond issuances in FY26 to inject Rs 6.39 lakh crore into the banking system. This move cushions liquidity amid heavy government borrowing, preventing excessive yield hikes and supporting credit growth. The RBI's actions have helped maintain stable money market rates despite market volatility. What's Your Reaction?
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