India, May 20 -- Reserve Bank of India has announced a long-term USD/INR Buy/Sell swap auction worth USD 5 billion to inject liquidity into the banking system amid evolving market conditions.
The central bank will conduct the three-year swap auction on May 26, 2026, between 10:30 AM and 11:30 AM. The near-leg or spot settlement date has been fixed as May 29, 2026, while the far-leg maturity date will be May 29, 2029.
Under the mechanism, market participants will submit bids based on the premium they are willing to pay to the RBI for the tenor of the swap, quoted in paisa terms up to two decimal places.
The RBI stated that the auction will follow a multiple price-based mechanism, meaning successful bidders will receive allotments at their...