RBI to restore normal liquidity operations in phased manner
In view of the COVID-19 pandemic, the RBI had temporarily suspended the revised liquidity management framework. January 08, 2021 / 06:45 PM IST
The Reserve Bank of India (RBI) on January 8 said it is restoring normal liquidity management operations in a phased manner on a review of the evolving liquidity conditions.
“On a review of evolving liquidity and financial conditions, it has been decided to restore normal liquidity management operations in a phased manner,” the RBI said in a release.
Accordingly, the RBI will conduct a Variable Rate Reverse Repo auction on January 15 for a notified amount of Rs 2,00,000 crore, it said.
RBI to resume normal liquidity management operations in phased manner
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Last Updated: Jan 08, 2021, 09:05 PM IST
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Synopsis
In February last year, RBI had announced a revised Liquidity Management Framework (LMF) that was simplified and clearly communicated the objectives and toolkit for liquidity management.
Agencies
This was intended to provide eligible market participants with greater flexibility in their liquidity management.
The RBI on Friday said it has decided to restore normal liquidity management operations in a phased manner and will conduct variable rate reverse repo auction of Rs 2 lakh crore on January 15.
In February last year, RBI had announced a revised Liquidity Management Framework (LMF) that was simplified and clearly communicated the objectives and toolkit for liquidity management.
Reserve Bank of India to restore normal liquidity management operations
In February last year, RBI had announced a revised Liquidity Management Framework (LMF) that was simplified and clearly communicated the objectives and toolkit for liquidity management
PTI | January 8, 2021 | Updated 21:38 IST
Reserve Bank of India (RBI)
The RBI on Friday said it has decided to restore normal liquidity management operations in a phased manner and will conduct variable rate reverse repo auction of Rs 2 lakh crore on January 15.
In February last year, RBI had announced a revised Liquidity Management Framework (LMF) that was simplified and clearly communicated the objectives and toolkit for liquidity management.