The Reserve Bank of India will conduct a 4-day Variable Rate Repo (VRR) auction on October 26, 2026, for ₹1,50,000 crore under the Liquidity Adjustment Facility (LAF). The auction will reverse on October 30, 2026, with bidding window between 9:30 AM and 10:00 AM.
RBI to Conduct 4-Day VRR Auction on October 26, 2026
The Reserve Bank of India (RBI) has announced a 4-day Variable Rate Repo (VRR) auction scheduled for Monday, October 26, 2026, under the Liquidity Adjustment Facility (LAF). The notified amount for the auction is ₹1,50,000 crore, with the reverse leg set for Friday, October 30, 2026.
The bidding window will be open from 9:30 AM to 10:00 AM on the auction date. The decision follows a review of evolving liquidity conditions in the near term. The VRR mechanism allows the RBI to inject short-term liquidity into the banking system at a variable interest rate determined through auction.
This move signals RBI’s active management of system liquidity amid shifting macroeconomic conditions. Market participants will observe the weighted average rate discovered in the auction as an indicator of short-term funding costs and monetary policy stance.
