Mumbai, September 7: The Reserve Bank of India (RBI) will conduct simultaneous purchase and sale of government securities under the Open Market Operation (OMO) for Rs 10,000 crore each on September 10, the central bank said on Monday.

The RBI on August 31 had announced that it would conduct special simultaneous purchase and sale of government securities under OMO for an aggregate amount of Rs 20,000 crore in two tranches of Rs 10,000 crore each as part of its measures to foster orderly market conditions.

"The first auction is scheduled for September 10, 2020," the RBI said in a statement. RBI Issues Directives for Banks Amid COVID-19 Spread in India, Says 'Banking Services Should Not be Disrupted'.

It would be selling three securities totalling Rs 10,000 crore and also purchasing equal number of securities of the same amount.

The result of the auctions will be announced on the same day.

The second tranche of auction would be conducted on September 17.

Simultaneous purchase and sale of government securities under OMOs, popularly known as Operation Twist, involves purchasing G-Sec of longer maturities and selling equal amount of G-Sec of shorter maturities.