RBI to conduct two VRRR auctions worth Rs 1.5 trillion on Tuesday

Treasury executives say liquidity surplus continues to be sizeable

The Reserve Bank of India (RBI) will conduct two variable rate reverse repo (VRRR) auctions on Tuesday for Rs 1.5 trillion to manage surplus liquidity in the system.
 

The first auction of Rs 1 trillion will have tenor of three days.
 

Another VRRR auction for 28 days will be for Rs 50,000 crore.  Thus, the date of reversal (April 19), will flow into the next financial year. RBI conducted an eight-day VRRR auction on March 17, absorbing about Rs 57,000 crore.
 

Treasury executives said the liquidity surplus in the banking system continues to be sizeable and RBI has restored the