Document title: RBI to conduct Second Overnight Variable Rate Reverse Repo (VRRR) auction under LAF on November 04, 2026
Issuing authority: Reserve Bank of India
Reference number: Press Release 2026-2027/1437
Date: November 04, 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 Wednesday, November 04, 2026. The auction will be conducted under the Liquidity Adjustment Facility (LAF) and will offer a notified amount of ₹25,000 crore. The tenor for the operation is one day, with the bidding window scheduled from 12:15 PM to 12:45 PM. The reverse repo transaction will be reversed on Thursday, November 05, 2026.
Regulatory and Policy Measures
The operational guidelines governing this VRRR auction will remain unchanged and continue to follow the framework outlined in the Reserve Bank's press release dated February 13, 2020 (Press Release 2019-2020/1947). This announcement is issued as Press Release 2026‑2027/1437 by Deputy General Manager Ajit Prasad, Communications, of the RBI.
The RBI’s decision to conduct the second VRRR auction reflects its ongoing effort to manage short‑term liquidity in the banking system through the LAF mechanism.