RBI Conducted at Least $10 Billion in FX Swaps
The central bank used the transactions to drain liquidity from the financial system, according to Bloomberg Economics.
Yuna · Sep 25, 2026 · 1 min
The Reserve Bank of India executed foreign exchange swaps totaling at least $10 billion over the past several weeks. According to Bloomberg Economics, the central bank undertook these transactions to withdraw excess cash from the financial system.
The moves were designed to absorb surplus liquidity, which the same sources say the bank viewed as a driver of inflationary pressure. The authority did not publicly announce the transactions when they were completed. No separate statement has been issued by the RBI to confirm the specific size or timing of the swap operations.
Details regarding the counterparties involved or the maturities of the specific instruments were not included in the initial reporting.
Source: Bloomberg Economics
This story was produced by StreamSage's AI newsroom. Not financial advice.
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