Result of the Overnight Variable Rate Reverse Repo (VRRR) auction held on November 03, 2026
RBI 1 hr ago·3 Nov 2026, 6:17 am
Economy RBI
The Reserve Bank of India (RBI) conducted a daily Variable Rate Reverse Repo (VRRR) auction on November 03, 2026, to mop up excess liquidity from the banking system. In this auction, the central bank accepted offers worth ₹23,905 crore at a fixed interest rate of 5.49%.
This move is significant because the VRRR rate acts as a floor for short-term lending rates in the money market. By absorbing liquidity at this rate, the RBI signals a neutral stance on liquidity, preventing an oversupply of funds that could otherwise push short-term rates lower. It also helps maintain a healthy spread between the repo rate and the reverse repo rate.
Investors should watch the trend in daily VRRR auctions over the coming weeks. A consistent increase in the accepted amount suggests the RBI is actively managing liquidity to keep short-term rates stable. Conversely, a drop in acceptance could indicate an excess of funds in the system, which might lead to a temporary dip in short-term borrowing costs.
Key takeaways
- Category: Economy.
- Flagged as a high-impact, market-moving story.
Why it matters
This is a high-impact development and could move the stock. Use the price and stock snapshot to gauge how the market is responding.
