RBI VRR Auction: ₹28,220 Cr Allotted at 5.27% Rate
- ▸RBI allotted ₹28,220 crore in 1-day VRR repo auction on June 15, 2026, against notified amount of ₹75,000 crore
- ▸Weighted average rate settled at 5.27% with cut-off rate at 5.26%, indicating tight liquidity conditions
- ▸Subscription received at 37.6% of notified amount, reflecting moderate participation in overnight liquidity operations
The Reserve Bank of India conducted its Overnight Variable Rate Repo (VRR) auction on June 15, 2026, allotting ₹28,220 crore against a notified amount of ₹75,000 crore. The weighted average rate (WAR) settled at 5.27%, with a cut-off rate of 5.26%, reflecting prevailing liquidity conditions in the banking system. The auction received total bids of ₹28,220 crore, resulting in 100% allotment of received bids. This represents a subscription ratio of approximately 37.6% against the notified amount, indicating moderate participation from banking institutions. The VRR repo facility serves as a crucial liquidity management instrument for overnight borrowing requirements in India's money market.
The RBI's Overnight Variable Rate Repo (VRR) auction is a critical monetary policy tool used to manage daily liquidity in the Indian banking system. The June 15, 2026 auction results indicate the central bank's ongoing efforts to balance credit availability with inflation control objectives. Lower-than-notified allotment suggests banks are managing their liquidity requirements prudently, while the rates around 5.26-5.27% align with RBI's policy stance on short-term money market operations.
Cite This Article
EconoLens Editorial Team. (2026, June 15). RBI VRR Auction: ₹28,220 Cr Allotted at 5.27% Rate. EconoLens. https://econolens.co.in/news/rbi-vrr-auction-june-15-2026