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Does the move add or drain liquidity?

Exercise and reference answers

Left
Adds
Items
  1. Item
    RBI buys G-Secs
    Answer
    Adds
  2. Item
    Govt buys back
    Answer
    Adds
  3. Item
    Bank borrows LAF
    Answer
    Adds
  4. Item
    RBI sells G-Secs
    Answer
    Drains
  5. Item
    Bank parks funds
    Answer
    Drains
  6. Item
    Fresh auction
    Answer
    Drains
Right
Drains
Instructions
Swipe left for Adds, right for Drains.

Explanation

_Source: RBI, FAQs on the Government Securities Market in India_
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