RBI's Special Fixed Rate Term Repo Auction for Rs 50,775 cr today

Mumbai, Nov 5 (UNI) The Reserve Bank of India shall conduct a special fixed rate term repo at 7.5 per cent per annum against eligible securities for Rs 50,775 crore today, due for reversal on November 19, with a view to enable banks to meet the liquidity requirements of Mutual Funds (MFs) and Non-Banking Financial Companies (NBFCs) either on incremental or on rollover basis.

The outstanding amount under this facility as on yesterday stood at Rs 9,225 crore, a release issued by RBI said.

It may be recalled that the Reserve Bank of India had announced earlier that it would conduct the special fixed rate term repo under Liquidity Adjustment Facility every day until further notice up to a cumulative amount of Rs 60,000 crore and that additional liquidity support to the extent of up to 1.5 per cent of their NDTL, can be availed by banks exclusively for the purpose of meeting requirements of MFs and NBFCs.

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