Governor Shaktikanta Das on Tuesday said the Reserve Bank of India (RBI) will operate fine-tuned to manage unpredictable and one-time liquidity flows.
As the market settles for regular operations, RBI shall, from time to time, as required, fine-tune operations to manage unexpected and one-time liquidity flows so that the liquidity position in the system develops in a balanced and equitably distributed manner, Mr Das said.
He was speaking at a conference organized by Fixed Income Money Market and Derivatives Association of India (FIMMDA) and Primary Dealers Association of India (PDAI).
The governor noted that government securities are a distinct asset class, and it is important to appreciate the role of the government securities market in the overall macro interest rate environment of the economy.
.