RBI balance sheet size increased by 30.02% in 2019-20 on the back of increase in forex assets and G-secs which increased by 27.27% year on year to Rs 3540 billion and by 18.40% year on year to Rs 11720 billion respectively.Currency in circulation rose 21.52% to Rs 26355 billion in 2019-20.RBI has bought USD 48.23 billion in fiscal 2019-20. RBI had to buy bonds of Rs 1.81 trillion through OMOs to infuse liquidity into the system.
RBI is the sole supplier of liquidity to the system and the presentation on RBI Balance Sheet & Liquidity gives you an insight on how RBI increases or decreases its monetary base by increasing or decreasing reserves through its various operations.
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