What changed
RBI announced a new 4-day VRR auction for ₹50,000 crore on June 25, 2026, under the Liquidity Adjustment Facility. The auction reverses on June 29, 2026. Operational guidelines follow the January 20, 2022 press release.
What it means for you
This injection signals RBI's intent to ease short-term liquidity pressures. Banks can access ₹50,000 crore for 4 days at a variable rate, helping manage end-of-quarter funding needs. The auction may influence short-term money market rates.
What you must do
- Participate in the VRR auction on June 25, 2026, between 10:00 AM and 10:30 AM.
- Review your bank's short-term liquidity position to bid optimally.
- Monitor the cut-off rate to align with your funding costs.
- Prepare for reversal on June 29, 2026, to manage cash flows.
Who it affects
All scheduled commercial banks, Primary dealers, Money market participants
What is the notified amount for this VRR auction?
The notified amount is ₹50,000 crore.
When will the auction reverse?
The auction reverses on June 29, 2026 (Monday).
Where can I find the operational guidelines?
Operational guidelines are the same as those in RBI Press Release 2021-2022/1572 dated January 20, 2022.