More Stories

Informist, Friday, Jan. 16, 2026

 

--RBI did not buy or sell any gilts outside OMO auction in week ended Jan 9

 

NEW DELHI – The Reserve Bank of India did not buy or sell any gilt in the secondary market outside the open market operation auction in the week ended Jan. 9, data released by the central bank Friday showed. The data is presented on the basis of the settlement of any bond market activity. This came after two straight weeks of bond purchases in the secondary market, though the figure for the Jan. 2 week was minuscule.

 

During the week, the central bank had infused INR 500 billion of liquidity by buying gilts through an OMO auction on Jan. 5. The central bank has not shown any activity in the secondary market so far in 2026 after buying bonds worth over INR 7 trillion in 2025, of which INR 664.30 billion were in the secondary market. It had bought gilts worth INR 41.55 billion in the week ended Dec. 26 and INR 500 million in the week ended Jan. 2 outside the OMO auctions.

 

Traders had expected the RBI to again purchase gilts on screen in January after maturity of the 7.59%, 2026 bond on Jan. 11. Market participants estimate the central bank holds INR 350 billion-INR 400 billion of the bond. "Others"--a category that includes the RBI, insurers, and provident funds--net purchased INR 78.44 billion worth of gilts in the week ended Jan. 9, according to Clearing Corp. of India data. Any purchases from the central bank on Jan. 9, which saw "Others" buy over INR 42 billion of gilts in the secondary market, will be reflected in next week's RBI data release, dealers said.

 

RBI Governor Sanjay Malhotra had said in December that open market operations are primarily used to manage liquidity instead of influencing bond yields. The central bank has conducted two INR 500-billion OMO auctions so far in January, with another scheduled for Jan. 22. While some dealers said the central bank may forgo any additional purchases in the secondary market, "Others" data this week has also led to speculation of gilt purchases from the central bank on screen to replace the bond that has matured.  End

 

Reported by Aaryan Khanna

Edited by Rajeev Pai

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2026. All rights reserved.