RBI Announces Results for Second 3-day Variable Rate Repo Auction as Cut Off Rate Hits 5.26%
The Reserve Bank of India (RBI) has officially released the results of the second 3-day Variable Rate Repo (VRR) auction conducted on July 17, 2026. The auction saw a specific level of participation amid an overall notified amount requirement of ₹50,000 crore.The central bank's latest move reflects ongoing liquidity management efforts within the domestic monetary framework. Market participants are closely watching these auction outcomes to gauge the immediate trajectory of short-term interest rates and money market dynamics.
Breakdown of Auction Participation and Allotment
Out of the total notified amount of ₹50,000 crore, the RBI received bids totaling ₹816 crore during this specific auction cycle. The central bank successfully allotted the entire amount of ₹816 crore to the bidders who participated in the process.The reporting highlights that the allotment was completed without any shortfall against the total bids received. This level of participation provides a snapshot of current demand for short-term repo instruments.
Critical Interest Rate Metrics and Cut Off Data
The auction concluded with a Cut Off Rate of 5.26%, which also served as the Weighted Average Rate for this period. These figures are pivotal for institutional investors and lenders who rely on VRR auctions to manage their liquidity positions and borrowing costs.Stability in these rates suggests a steady environment for short-term funding. Analysts note that the synchronization between the Cut Off Rate and the Weighted Average Rate indicates a highly concentrated bidding activity at specific price points.
Official RBI Communication Summary
The data was released through the Department of Communication, Central Office, Mumbai, under the authority of Deputy General Manager Ajit Prasad. The press release (2026-2027/694) serves as the official record for the July 17, 2026, auction results.For further updates and detailed historical data regarding monetary policy auctions, the RBI maintains its official portals at www.rbi.org.in and provides correspondence via helpdoc@rbi.org.in.
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