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Reserve Bank of India: RBI uses currency swaps to cut $115 billion cash surplus - The Economic Times
India's central bank is draining excess cash from banks using currency swaps. This action follows record high funds in the financial system. The Reserve Bank of India sells dollars for rupees, reducing rupee liquidity. Massive inflows had previously pushed surplus funds to 11 trillion rupees. These measures aim to manage inflation risks posed by cheaper borrowing.
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