The Reserve Bank of India will meet select primary dealers and banks on Tuesday, three traders aware of the developments told Reuters, amid concerns that tightening liquidity in the banking system is pressuring the government bond market.
The meeting, though without a formal agenda, is expected to focus on current market conditions, the traders said, declining to be named as they are not authorized to speak to the media.
This meeting in India comes just days after the US Federal Reserve had to pump $29.4 Billion cash into the U.S. Banking System on Friday last week, via the Standing Repo funding mechanism. (Story Here)
