RBI Money Market Operations: June 13, 2026

The liquidity absorption pattern reflects RBI's calibrated approach to managing monetary conditions within the corridor system. The Standing Deposit Facility, introduced under the new framework, has become a critical tool for absorbing excess liquidity without creating permanent structural tightness. The one-day SDF absorption of ₹1,61,987 crore at 5.00 per cent suggests this rate effectively attracts deposits when system liquidity requires absorption. Compared to MSF borrowing of ₹142 crore at 5.50 per cent, the differential of 50 basis points creates appropriate incentive hierarchy - banks prefer cheaper SDF over expensive MSF. The Standing Liquidity Facility availed from RBI recorded ₹10,504.79 crore, providing additional absorption pressure. Variable rate repo and reverse repo operations recorded nil transactions, indicating no need for discretionary fine-tuning beyond LAF framework. The fortnight's average CRR requirement of ₹7,90,713 crore against actual cash balances of ₹7,64,120.75 crore created a shortfall of approximately ₹26,592.25 crore, which banks would need to address through the accounting fortnight. This technical CRR compliance challenge, combined with broader system liquidity tightness reflected in net absorption of ₹1,74,022 crore, suggests RBI maintained moderately hawkish liquidity conditions aligned with inflation management objectives. The complete absence of interbank transactions indicates banks preferred institutional channels (RBI facilities) over peer-to-peer lending for managing their liquidity positions.