RBI not in talks with government on bond buys

The Reserve Bank of India is not in talks with the government currently to conduct open market purchases of government bonds, a source familiar with the central bank`s thinking said, denying a media report that the central bank might consider such steps to boost the debt market.

Earlier on Friday, financial news provider Newsrise cited a senior finance ministry official as saying that the RBI might purchase bonds through open market operations and secondary market trading to support New Delhi`s borrowing programme.