Document title: Result of the Second Overnight Variable Rate Reverse Repo (VRRR) auction held on September 16, 2026

Issuing authority: Reserve Bank of India (RBI)

Reference number: Press Release 2026-2027/1123

Date: 16 September 2026

Policy rates and liquidity

The Reserve Bank of India conducted its second overnight Variable Rate Reverse Repo (VRRR) auction on 16 September 2026. The auction was announced with a notified amount of ₹1,00,000 crore. Participants submitted offers totaling ₹40,302 crore, and the entire ₹40,302 crore was accepted. The cut‑off rate and the weighted average rate were both fixed at 5.24%, with no partial acceptance of offers reported, indicating that all bids were satisfied at the cut‑off rate.

The auction outcome reflects the RBI’s ongoing stance on managing short‑term liquidity in the banking system through the VRRR mechanism.

In conclusion, the RBI’s second VRRR auction on 16 September 2026 resulted in full subscription of ₹40,302 crore at a 5.24% rate, underscoring the effectiveness of the reverse repo facility in absorbing excess liquidity.