Business Standard ·
RBI absorbs ₹2.9 trillion via two VRRR auctions amid surplus liquidity
The RBI, since last month, has been conducting various VRRR auctions in order to absorb surplus liquidity from the banking system and align the overnight money market rates to the repo rate
The Reserve Bank of India (RBI) on Wednesday absorbed ₹2.90 trillion through two variable rate reverse repo (VRRR) auctions from the banking system amid a huge surplus.
In the first auction, the central bank received bids worth ₹3,17,088 crore for a notified amount of ₹2.50 trillion. However, it accepted only ₹2,50,025 crore at a cut-off and weighted average rate of 5.24 per cent.
