RBI Announces Closure Of Money Markets On January 22 For Ram Mandir Ceremony

The Reserve Bank of India (RBI) has revised its earlier announcement, declaring that all money markets will remain closed on January 22nd in observance of the Ram Mandir Pran Pratishtha ceremony. This supersedes the previous update mentioning a shortened trading session.

The decision follows Maharashtra's announcement of a public holiday under Section 25 of the Negotiable Instruments Act, 1881. This update supersedes the earlier RBI statement that had indicated money markets would be open from 2:30 pm to 5:00 pm on that day.

According to the RBI, there will be no transactions and settlements in Government securities (primary and secondary), foreign exchange, money markets, and Rupee Interest Rate Derivatives on January 22. Settlement of all outstanding transactions will be postponed to the next working day, i.e., January 23.

The 3-day variable rate repo auction, previously announced for the day, has been canceled, and a two-day VRR auction will now be conducted on Jan. 23, as per the central bank.

An additional issue each of Standing Deposit Facility (SDF) and Marginal Standing Facility (MSF) with reversal on January 23, 2024 (Tuesday), is being made available, the RBI stated.

Normal market timings are set to resume from Jan. 23.

The 'Pran Pratishtha' of the Ram Lalla idol at the sanctum sanctorum of the Ram temple is scheduled for Monday, with the ceremony to be performed by Prime Minister Narendra Modi.