Document title: Result of the Overnight Variable Rate Reverse Repo (VRRR) auction held on August 19, 2026
Issuing authority: Reserve Bank of India (RBI)
Reference number: Press Release: 2026-2027/922
Date: August 19, 2026
Policy Rates and Liquidity
The Reserve Bank of India conducted an overnight Variable Rate Reverse Repo (VRRR) auction on 19 August 2026. The notified amount for the auction was ₹150,000 crore. Participants submitted offers totaling ₹125,825 crore, and the entire amount of offers received was accepted. The cut‑off rate and the weighted average rate were both set at 5.24 per cent. No partial acceptance of offers was reported, indicating that all accepted bids were allocated at the cut‑off rate.
Regulatory and Policy Measures
The auction outcome reflects RBI's ongoing liquidity management framework, utilizing the VRRR mechanism to absorb excess liquidity from the banking system at the announced rate of 5.24 per cent. The full acceptance of offers at the cut‑off rate demonstrates effective market participation and the efficacy of the reverse repo operation in achieving the intended liquidity absorption.
The RBI’s communication, signed by Deputy General Manager Ajit Prasad of the Communications Department, confirms the operational details and rates for market participants.
Overall, the auction results indicate a successful implementation of the RBI’s liquidity absorption strategy for the day, with the reverse repo rate anchored at 5.24 per cent and the full allocation of ₹125,825 crore of offers.