Mumbai: The 3-day variable rate reverse repo (VRRR) auction on Monday received bids of ₹44,790 crore versus a notified amount of ₹50,000 crore.
The Reserve Bank of India conducted the auction amid relatively lower overnight rates, with the average call rate at 5.36%, and the average Treps rate at 5.35%, CCIL data showed. Over the past fortnight, the RBI has received significantly lower bids in VRRR auctions when the amount exceeds ₹1 lakh crore.
In Friday’s VRRR auction, for a notified amount of ₹1 lakh crore, banks tendered only ₹13,045 crore. Offers totalled ₹67,577 crore against the same notified amount for another auction last week. The RBI offers 5.49% on funds parked under VRRR.