The Reserve Bank of India is likely paying in rupee forwards across various deliveries via public sector banks, three traders told Reuters on Thursday.

The RBI is conducting sell/buy swaps for value date September 11 over September 15 and across near deliveries.

"To me, it looks like they are paying across the curve, but the paying is the most in the very near maturities," a forex trader at a private sector bank said.

Another trader pointed out that it was unusual that the RBI was selling in spot and paying in forwards.

"If I had to guess, the paying is related to rupee liquidity," he said. "Supplying dollars and carry are the other reasons I can think of."

The 1-year USD/INR implied yield was up 2 basis points at 1.70%. (Reporting by Nimesh Vora; Editing by Sonia Cheema)