The Reserve Bank of India has accepted a $5.135 billion USD/INR sell-buy swap auction held on Tuesday against the declared $5 billion.
Last month, the RBI announced it would hold a $5 billion biennial USD/INR sell/buy swap auction.
At today’s auction, the total amount bid by participants was $13.565 billion, RBI said in a press release.
The central bank received 246 bids but accepted 86 bids in the auction, the press release said. The bid-to-cover ratio was 2.71.
In the sell-buy swap auction, a bank buys US dollars from the Reserve Bank and at the same time agrees to sell the same amount of US dollars at the end of the swap period.