The Reserve Bank of India, as announced in the Statement on Developmental and Regulatory Policies dated October 09, 2020, will conduct Open Market Operations (OMOs) in State Developments Loans (SDLs). It has been decided to conduct a purchase auction of SDLs under Open Market Operations (OMOs) for an aggregate amount of ₹10,000 crores on October 22, 2020, keeping in view that this is the first ever OMO purchase of SDLs. Depending on market response, the size of the auctions may be enhanced in the subsequent auctions. Accordingly, RBI will purchase the SDLs given in Annex-1 through a multi-security auction using the multiple price method. There is no security-wise notified amount. The Reserve Bank reserves the right to decide on the quantum of purchase of individual securities, accept bids for less than the aggregate amount, purchase marginally higher/lower than the aggregate amount due to rounding-off, accept or reject any or all the bids either wholly or partially without assigning any reasons.
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