RBI gets bids worth Rs 48,856 crore for Rs 25,000 crore LTRO
The Reserve Bank of India on Monday said it has received Rs 48,856 crore of bids in the fourth long-term reverse repo operation (LTROs) conducted for an amount of Rs 25,000 crore with a 3-year tenor. The RBI received 37 bids in the LTRO with a reversal date on March 7, 2023. "The total bids that were received amounted to Rs 48,856 crore, implying a bid to cover ratio (i.e., the amount of bids received relative to the notified amount) of 2," RBI said in a release.
The RBI allotted an amount of Rs 25,021 crore, with a pro-rata allotment percentage to 51.18 per cent. Last week, the apex bank received Rs 1.719 lakh crore in the LTRO conducted for an amount of Rs 25,000 crore with a 3-year tenor.
The RBI conducted two LTROs with three-year and one-year tenors for Rs 25,000 crore each on February 17 and February 24, respectively.
Additionally, the central bank is also conducting two-term repo auctions for shorter tenors to address any additional demand for liquidity, and to provide flexibility to the banking system in its liquidity management towards the year-end.
It will also conduct LTROs of Rs 25,000 crore each on March 30 and March 31.