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RBI skips 14-day main liquidity operation for third fortnight in a row
The Reserve Bank of India (RBI) has opted not to conduct its planned 14-day main liquidity operation on Friday, 13 June 2025, after evaluating the prevailing and anticipated liquidity landscape.
'On a review of the current and evolving liquidity conditions, it has been decided not to conduct the 14-day main operation on Friday, June 13, 2025, for the upcoming fortnight,' the central bank said on Thursday.
This is the third fortnight in a row the central bank has skipped the operation. Although the system is bracing for sizable tax-related outflows—around ₹3 trillion–₹3.5 trillion from advance tax payments and GST obligations between 13 and 20 June—this pressure is expected to be offset by incoming liquidity. Market participants said that while short-term money market rates may experience some upward movement, they are unlikely to breach the policy repo rate.
'We have outflows scheduled in the form of tax payments; there will be some upside in overnight rates,' said a market participant.
In addition, the RBI has suspended its daily variable-rate repo (VRR) operations as of 11 June, indicating sufficient surplus liquidity, which stood near ₹2.6 trillion as of Wednesday, latest data by the RBI showed.
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