RBI to Conduct $10 Billion Dollar-Rupee Swap Auction on 28th February

The Reserve Bank has announced a long-term dollar-rupee swap auction for ten billion dollars on 28th February 2025. According to an official press release, the auction will be for a tenor of three years from 4th March 2025 to 6th March 2028.

The market participants would be required to place their bids in terms of the premium that they are willing to pay to the Reserve Bank for the tenor of the swap, expressed in paisa terms up to two decimal places. 

The minimum bid size would be ten million dollars and in multiples of one million dollars thereafter. All eligible participants will be allowed to submit multiple bids.

Interested



parties need to submit their bids through email in the prescribed form along with the Excel sheet as available on the RBI’s website. Successful bidders would be the ones who have placed their bids at or above the cut-off premium.

RBI has said that the results will be announced on the day of the auction, adding that there will be a provision of pro-rata allotment should there be more than one successful bid at the cut-off premium.

This will be the second swap auction by the Reserve Bank in a month. The apex bank has infused 5.1 billion dollars in liquidity through a six-month swap on 31st January 2025.