On August 6, 2026, the Reserve Bank of India conducted a Variable Rate Reverse Repo auction for ₹1,50,000 crore. The total amount accepted was ₹1,30,286 crore, with a cut-off rate of 5.24%.
RBI Conducts 4-Day Variable Rate Reverse Repo Auction
On August 6, 2026, the Reserve Bank of India (RBI) successfully conducted a Variable Rate Reverse Repo (VRRR) auction for a notified amount of ₹1,50,000 crore. The auction witnessed total offers amounting to ₹1,30,286 crore.
The cut-off rate was set at 5.24%, with the weighted average rate slightly lower at 5.23%. This auction is part of the RBI's liquidity management framework, designed to ensure the stability and efficiency of the money market.
The operational guidelines, as outlined by the RBI, specify that this auction will contribute to adjusting the liquidity conditions in the market, thereby influencing short-term interest rates. With a total acceptance matching the offers received, the auction reflects confidence among participants in the liquidity management process.
For legal practitioners and financial professionals, this auction outcome is significant as it impacts current and future liquidity conditions. Understanding these operations is essential for effective financial planning and strategy.
Citations
- Reserve Bank of India Press Release (2026)