The Reserve Bank of India (RBI) on Tuesday received bids aggregating Rs 46,160 crore at the 16-day variable repo auction against the notified amount of Rs 50,000 crore.
At the 16-day variable rate repo auction aggregating Rs 50,000 crore held on Monday, the RBI received bids aggregating Rs 31,585 crore.
The cut-ff rate at both the aforementioned auctions was 5.16 per cent. These “fine-tuning” variable rate 16-day term repo auctions have been conducted to infuse rupee liquidity in the financial system amid the COVID-19 outbreak.
As a special case, the RBI said standalone Primary Dealers have been allowed to participate in the variable rate term repo auctions along with other eligible participants.