Document title: RBI to conduct Overnight Variable Rate Reverse Repo (VRRR) auction under LAF on September 24, 2026
Issuing authority: Reserve Bank of India
Reference number: Press Release 2026-2027/1174
Date: September 23, 2026
Policy Rates and Liquidity
The RBI, after reviewing current and evolving liquidity conditions, has decided to conduct a Variable Rate Reverse Repo (VRRR) auction on Thursday, September 24, 2026. The auction will offer a notified amount of ₹1,25,000 crore for a one‑day tenor. The bidding window is scheduled from 09:30 AM to 10:00 AM, and the reverse repo operation will be reversed on Friday, September 25, 2026.
Regulatory and Policy Measures
The operational guidelines for this auction will remain the same as those outlined in the Reserve Bank's Press Release 2019‑2020/1947 dated February 13, 2020. The announcement is signed by Deputy General Manager Ajit Prasad, Communications.
The RBI’s use of the VRRR mechanism under the Liquidity Adjustment Facility reflects its ongoing effort to fine‑tune overnight liquidity in the banking system while maintaining consistency with established operational procedures.