RBI halves excess bank liquidity to ₹4.92 lakh cr

RBI cut excess bank liquidity from ₹11.16 lakh crore to ₹4.92 lakh crore this month. It sold ₹750 billion in bonds, with another ₹250 billion sale planned. Banks parked ₹3.4 lakh crore via reverse repos. RBI is also conducting daily $1 billion forex swaps, ahead of expected interest rate hikes later this year.