RBI/2019-20/237
FMOD.MAOG.No.142/01.01.001/2019-20

May 22, 2020

All Liquidity Adjustment Facility (LAF) participants

Madam/Sir,

Liquidity Adjustment Facility – Repo and Reverse Repo Rates

As announced in the Monetary Policy Statement, 2020-21, today, it has been decided by the Monetary Policy Committee (MPC) to reduce the policy Repo rate under the Liquidity Adjustment Facility (LAF) by 40 basis points from 4.40 per cent to 4.00 per cent with immediate effect.

2. Consequently, the Reverse Repo rate under the LAF stands adjusted to 3.35 per cent with immediate effect.

3. All other terms and conditions of the extant LAF Scheme will remain unchanged.

Yours sincerely,

(Radha Shyam Ratho)
Chief General Manager