Mumbai, Dec. 24 -- The Reserve Bank of India (RBI) on Wednesday announced a major liquidity infusion through a long-term dollar-rupee swap, aimed at easing liquidity conditions in the financial system.

In a press release, RBI said it will conduct a USD/INR Buy/Sell swap auction of USD 10 billion with a tenor of three years. "The auction is scheduled to be held on January 13, 2026, between 10.30 am and 11.30 am."

Under the swap arrangement, banks will sell US dollars to the RBI in the near leg and simultaneously agree to buy back the same amount of dollars at the end of the three-year period. The near-leg settlement will take place on January 15, 2026, while the far-leg maturity date is January 16, 2029.

Bids in the auction will be plac...