RBI's 50,000cr VRRR drew half offers, signals 2Lcr surplus
Business
The Reserve Bank of India (RBI) announced a liquidity-draining variable rate reverse repo (VRRR) operation of ₹50,000 crore on November 3, 2026, but banks only offered about one-half of that amount.
This lukewarm response points to plenty of extra cash, around ₹2 lakh crore, still floating in the banking system, and shows not all banks are feeling the same about their money needs.
RBI repeats 50,000cr VRRR, rates ease
Since the first auction didn't soak up much cash, RBI is giving it another shot with a fresh ₹50,000 crore offer on November 4.
Meanwhile, short-term interest rates dipped slightly after the weak response.
How this next round goes will help show if RBI can keep things steady as it juggles surplus funds and shifting interest rates.