New Delhi, Feb 8 (KNN) The Reserve Bank of India (RBI) has announced to purchase government securities under Open Market Operations (OMO) for an aggregate amount of Rs 20,000 crore.

''On a review of current liquidity and financial conditions, therefore, the Reserve Bank has decided to conduct purchase of Government securities under Open Market Operations (OMO) for an aggregate amount of Rs 20,000 crore on February 10, 2021,'' the bank said in a statement on Monday.

As per the statement, eligible participants should submit their bids in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system between 10:00 am and 11:00 am on February 10, 2021. Only in the event of system failure, physical bids would be accepted. Such a physical bid should be submitted to the Financial Markets Operations Department.

''The result of the auctions will be announced on the same day and successful participants should ensure availability of securities in their SGL account by 12 noon on February 11, 2021,'' it added.

The yield on 10-year bonds had surged last week after the government announced its borrowing plan. However, it had eased to 6.031 per cent at the time of filing this copy from the previous close of 6.071 per cent.

Holding policy interest rates unchanged at record lows on Friday, RBI Governor Shaktikanta Das assured investors that its stance on liquidity remained accommodative and that the government's Rs 12.06 trillion borrowing programme for the fiscal year starting April would be managed in a smooth and orderly manner.