Variable Rate Reverse Repo Auction

On July 1, Moneycontrol had reported that the RBI will conduct more variable rate reverse repo (VRRR) auctions to remove excess funds from the banking system and maintain liquidity at 1 percent of net demand and time liabilities (NDTL).

RBI may conduct more VRRR auctions as liquidity remains in huge surplus

Expectations for additional VRRR auctions rose after the liquidity in the banking system remained in huge surplus despite the central bank last week conducting a VRRR auction to remove excess liquidity.

RBI to conduct Rs 1 lakh cr VRRR auction on June 27 amid higher surplus liquidity

The VRRR is announced when the liquidity in the banking system remains more than Rs 2 lakh crore in the banking system and higher surplus funds are being parked by the banks in RBI’s standing deposit facility (SDF)

Huge surplus liquidity drags weighted average call money rate below repo this month

Weighted average call money rate remained in range of 6.31-6.45 percent between November 1 and 12, whereas RBI’s repo rate stands at 6.50 percent

RBI to conduct Rs 1.25-lakh crore 14-day VRRR auction on April 5

Currently, liquidity in the banking system is estimated to be in surplus of around Rs 1.58 lakh crore as on April 3, per RBI’s money market operation data.

RBI to conduct Rs 75,000 cr 3-day Variable Rate Reverse Repo auction on March 4

In the last few days, the central bank has conducted three VRRR auctions to remove excess liquidity from the banking system.

RBI to conduct 4-day VRRR auction on Feb 2 despite huge liquidity deficit

Currently the liquidity in the banking system is in huge deficit around Rs 2.22 lakh crore.

14-day VRRR gets muted response; banks parked only Rs 6,668 crore: RBI data

This was straight fifth VRRR auction, when banks have parked sharply lower amount than the notified amount by the RBI

Bond yields to trade high till clarity emerges on OMO quantum: Experts

Soon after the announcement by the RBI, yield on the 10-year benchmark government bond started rising. In the morning trade it rose 7-8 basis points and later, in the afternoon trade, it rose by 15 bps.

Banks parked Rs 5,995 cr in 14-day VRRR despite huge liquidity deficit

Currently, the liquidity in the banking system is estimated to be in deficit of around Rs 1.49 lakh crore. Due to this, banks have increased their borrowings through the marginal standing facility (MSF)

RBI to conduct Rs 50,000 cr 14-day variable rate reverse repo auction on September 22

Currently, liquidity in the banking system is estimated to be in deficit of around Rs 1.12 lakh crore.

MC Analysis | How RBI managed the liquidity situation since last year

Of all the measures, the variable rate reverse repo auction was the most widely used by the central bank.

RBI to conduct Rs 1 lakh cr 14-day VRRR on August 25

This was announced despite the liquidity in the banking system is deficit of around Rs 23,111.43 crore.

RBI to conduct Rs 1 lakh cr 14-day VRRR auction on August 11

Currently, liquidity in the baking system is estimated to be in surplus of around Rs 2.11 lakh crore.

Variable rate reverse repo auction will continue, says RBI governor

Das said that today even Rs 93,000 crore of VRRR will get released.

RBI may conduct two VRRR auctions of short maturity this week, say dealers

The apex bank has conducted 14 variable rate reverse repo (VRRR) auctions since June. But the response from banks to these auctions has been muted.

RBI to conduct Rs 1 lakh crore 14-day VRRR on July 14

Currently, the liquidity in the banking system is estimated to be in surplus of around Rs 1.81 lakh crore, according to the RBI’s money market operation.

RBI to conduct three-day VRRR auction for Rs 2 lakh crore on July 11

Since the start of this month, the central bank has conducted five VRRR auctions to remove surplus liquidity from the system

RBI to conduct 4-day VRRR for Rs 2 lakh crore on July 7

This will be fifth consecutive reverse repo auction conducted by the central bank in this week.

RBI to conduct Rs 1 lakh crore overnight Variable Rate Reverse Repo auction

Currently, the liquidity in the banking system is estimated to be in surplus of around Rs 2.35 lakh crore

RBI to conduct Rs 1-lakh-crore, 2-day VRRR auction today

This is third back to back VRRR auction conducted by the central bank in this week to remove excess surplus liquidity from the baking system.

RBI to conduct 2-day VRRR worth Rs 1 lakh crore today

Currently, the liquidity in the banking system is estimated to be in surplus of around Rs 2.22 lakh crore as on July 4.

RBI to conduct 2-day VRRR worth Rs 1 lakh crore today

Currently, the liquidity in the banking system is estimated to be in surplus of around Rs 1.26 lakh crore as on June 30, according to the RBI’s money market operation.

RBI to conduct Rs 50,000 cr via 14-day variable rate reverse repo auction on June 16

Currently, the liquidity in the banking system is estimated to be in surplus of around Rs 1.47 lakh crore.

RBI’s dependence on VRRR may increase as liquidity likely to improve further over the next few months, say experts

The response from the banks in the reverse repo auctions has been muted. Across all the auctions, banks parked Rs 1.57 lakh crore against the Rs 5.50 lakh crore that the RBI had offered to absorb.