Document title: RBI to conduct Overnight Variable Rate Reverse Repo (VRRR) auction under LAF on October 08, 2026
Issuing authority: Reserve Bank of India
Reference number: Press Release 2026-2027/1278
Date: October 08, 2026
Policy Rates and Liquidity
The Reserve Bank of India, after reviewing current and evolving liquidity conditions, has decided to conduct a second Variable Rate Reverse Repo (VRRR) auction on Thursday, October 08, 2026. The auction will make available a notified amount of ₹2,00,000 crore for a tenor of one day. Bidding will be accepted between 11:00 AM and 11:30 AM on the auction day, and the reverse repo operation will be reversed on Friday, October 09, 2026.
Regulatory and Policy Measures
The operational guidelines governing this auction will remain unchanged and are those set out in the Reserve Bank's press release dated February 13, 2020 (Press Release 2019-2020/1947). The current announcement is issued as Press Release 2026-2027/1278 by Deputy General Manager Ajit Prasad, Communications.
The RBI’s continuation of the VRRR mechanism underscores its ongoing commitment to manage short‑term liquidity in the banking system through the Liquidity Adjustment Facility.