Term Market Sees Massive Activity as RBI Manages Liquidity amid Reserve Positioning
Money Market Segments Show High Volume in Terms
The latest Money Market Operations report from the Reserve Bank of India (RBI) reveals substantial activity across both Overnight and Term market segments as of June 05, 2026. The aggregate volume for the Overnight Segment stood at ₹15,874.22 crore, with a Weighted Average Rate registered at 5.14 per cent.The Term Segment exhibited significant scale, recording an impressive volume of ₹5,29,767.85 crore in Triparty Repo operations alone. Market sentiment remains closely monitored through the defined ranges, with the Overnight segment reporting a rate range between 4.25 and 5.55 per cent.
RBI Operations: MSF and SDF Dictate Net Liquidity Flow
RBI's liquidity management activities focused on anchoring key rates through Micro and Standing Deposit Facilities (MSF and SDF). The Marginal Standing Facility (MSF) saw operations conducted across three days, with a rate of 5.50 per cent maintained against an operational amount of ₹2,100.00 crore on one day.The Standing Deposit Facility (SDF) also witnessed high-volume transactions, recording a Net liquidity injection of ₹1,81,980.00 crore across three operations at 5.00 per cent. The overall net liquidity injected from today's operations resulted in an absorption figure of -₹1,95,166.00 crore.
Standing Liquidity Facility and Net Injection Summary
The outcome of the Standin Liquidity Facility (SLF) availed by entities stood at ₹9,348.97 lakh. When incorporating both today's operations and outstanding activities, the report concluded that the net liquidity injected (or absorbed) totaled -₹1,85,817.03 crore.Reserve Positions Reflect Bank Cash Balances
The reserve positions of Scheduled Commercial Banks were reported as on June 05, 2026. The cash balances maintained with the RBI were noted at ₹8,09,974.42 crore. This figure is close to the average daily cash reserve requirement for the fortnight ending June 15, 2026, which stood at ₹7,90,713.00 crore.The net durable liquidity position, calculated as of May 15, 2026, stood in a surplus at ₹2,65,955.00 crore. This data provides a comprehensive view of the market's financial stability and the RBI’s active management of interbank liquidity flows.
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