RBI to infuse Rs 1.25 trillion worth of liquidity via bond purchases

RBI is set to infuse ₹1.25 trillion worth of liquidity into the banking system through bond purchases. This measure by the central bank aims to ease tight liquidity conditions in the market and ensure that banks have sufficient funds to meet the credit demand and other financial obligations. Liquidity infusion through open market operations, like bond purchases, is a key tool used by the RBI to manage the overall financial stability and functioning of the banking sector.