The Reserve Bank of India has announced a 3-day Variable Rate Repo (VRR) auction under the Liquidity Adjustment Facility (LAF) framework to address evolving liquidity conditions in the banking system.
The central bank will conduct a Rs 75,000 crore VRR auction on June 2, 2026, with the auction window open from 9:30 AM to 10:00 AM. The funds injected through the operation will mature on June 5, 2026.
The move is aimed at providing short-term liquidity support to the banking system, while the operational guidelines for the auction will remain in line with the RBI’s existing framework.