The Reserve Bank of India (RBI) will offer ₹25,000 crore, or ₹250 billion, in a three-day variable rate reverse repo (VRRR) auction, temporarily removing cash from the banking system for its term.
The auction is scheduled under the RBI’s liquidity adjustment facility (LAF) for Friday, Nov. 6. The RBI cited a review of current and evolving liquidity conditions as the reason for scheduling the operation.
Bidding will run from 11 p.m. to 11:30 p.m. ET Thursday, Nov. 5 (4 to 4:30 a.m. UTC Friday, Nov. 6; 9:30 to 10 a.m. India Standard Time Friday). The RBI lists Monday, Nov. 9, as the reversal date.
Operational guidelines referenced in the RBI’s Feb. 13, 2020, press release will remain the same for the auction.
