RBI Update: Standing Liquidity Facility for Primary Dealers dated 7th December, 2022

Reserve Bank of India vide its Circular dated 7 th December, 2022 announced in the Monetary Policy Statement 2022-23, it has been decided by Monetary Policy Committee (MPC) to increase the policy Repo rate under the Liquidity Adjustment Facility (LAF) by 35 basis points from 5.90 per cent to 6.25 per cent.

Further, Standing Liquidity Facility provided to Primary Dealers (PDs) (collateralized liquidity support) from the Reserve Bank would be available at the revised repo rate of 6.25 per cent.

This Circular is applicable to all primary dealers and shall come into immediate effect.

Link: View Circular