RBI receives ₹1.42 trillion bids against ₹2 trillion in overnight VRRR | Finance News
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The central bank plans to conduct a three-day VRRR auction on Friday to absorb ₹3 trillion from the banking system
The Reserve Bank of India’s overnight variable rate reverse repo (VRRR) auction received bids worth ₹1.42 trillion on Thursday against the notified amount of ₹2 trillion.
The central bank plans to conduct a three-day VRRR auction on Friday to absorb ₹3 trillion from the banking system.
A VRRR auction is a liquidity absorption tool used by the RBI to temporarily absorb surplus liquidity from the banking system.
Net liquidity in the banking system was in a surplus of ₹3.75 trillion on Wednesday, the latest data from the central bank showed.
The weighted average call rate (WACR) — which is the operating target of monetary policy — settled at 5.21 per cent, against the previous close of 5.18 per cent.
The SDF rate, which currently stands at 5 per cent, is the interest rate at which banks park their surplus funds with the RBI without providing collateral. It forms the lower bound of the RBI’s policy corridor, with the repo rate in the middle and the marginal standing facility (MSF) rate at the upper bound.
First Published: Aug 27 2026 | 8:56 PM IST
