The Reserve Bank of India (RBI) on Friday said it will conduct a 30-day variable rate reverse repo (VRRR) auction for a notified amount of Rs 7 lakh crore on September 7, according to the notification.
The auction will take place on September 7, between 9.30 am and 10.00 am. The reversal of these funds will take place on October 7.
"On a review of the current and evolving liquidity conditions, it has been decided to conduct a Variable Rate Reverse Repo (VRRR) auction on Monday, September 7, 2026," the RBI said in a release.
The excess liquidity in the banking system is estimated to be in surplus of around Rs 10.32 lakh crore as on September 3.
The central bank also said participants will have the option of premature reversal of the amount lent, including partial reversal.
Requests for premature reversal can be placed through the E-Kuber portal during 0900-1700 hours on working days in Mumbai and must also be intimated by email to the Financial Markets Operations Department.
Settlement of premature reversal will take place at the start of the next working day following the date of the request. Participants can seek premature reversal at least two working days before the original reversal date.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
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