RBI Absorbs ₹49,206 Crore in August 24 Overnight VRRR at 5.24%

The Reserve Bank of India accepted ₹49,206 crore in its overnight Variable Rate Reverse Repo auction held on 24 August 2026, according to the central bank's same-day result release. The notified amount was ₹1.50 lakh crore, while total offers received were ₹49,206 crore, meaning the RBI accepted the full amount offered by participants.

Key auction numbers

- Tenor: 1 day

- Notified amount: ₹1,50,000 crore

- Total offers received: ₹49,206 crore

- Amount accepted: ₹49,206 crore

- Cut-off rate: 5.24%

- Weighted average rate: 5.24%

- Partial acceptance: Not applicable

The result was issued as RBI Press Release 2026-2027/952.

What an overnight VRRR does

A Variable Rate Reverse Repo is a liquidity-absorption operation. Banks and other eligible participants place surplus funds with the RBI for the stated tenor, with the auction determining the rate at which funds are absorbed. In this case, the tenor was one day, so the operation was aimed at very short-term liquidity management.

The fact that offers of ₹49,206 crore were received against a much larger notified amount of ₹1.50 lakh crore shows that the auction was not fully subscribed. Because all offers received were accepted, there was no partial-allotment ratio at the cut-off.

Why the 5.24% rate matters

Both the cut-off rate and the weighted average rate were 5.24%. That provides a clean read of the rate at which the accepted liquidity was parked in this operation. Treasury desks typically watch these short-term RBI liquidity operations alongside the policy corridor, call-money conditions and other repo or reverse-repo operations to assess the marginal availability and pricing of funds in the banking system.

Part of active liquidity management

The August 24 overnight operation came amid a series of variable-rate liquidity operations by the RBI during the month. The central bank has been using different tenors to absorb or manage transient liquidity depending on evolving system conditions. For finance professionals, the important point is not to read a single VRRR auction as a change in the policy rate; it is an operational liquidity-management tool used within the RBI's monetary-policy framework.

What finance teams should monitor next

Bank treasury and market participants should track subsequent VRRR or repo announcements, the amount actually offered relative to notified amounts, accepted rates, overnight money-market rates and any change in liquidity conditions. Repeated under-subscription or changes in bid amounts can provide useful context on the distribution of surplus liquidity, although interpretation should be made alongside broader market data.

On 24 August, the RBI absorbed ₹49,206 crore for one day at 5.24% through the overnight VRRR. The result is a timely data point for banking, treasury and finance professionals following the central bank's day-to-day liquidity management, but it does not by itself represent a change in the policy stance or policy repo rate.

Useful official links

Result of the Overnight Variable Rate Reverse Repo (VRRR) auction held on August 24, 2026

Key takeaway

Same-day RBI liquidity-operation data is relevant to treasury, banking and finance professionals tracking system liquidity and short-term money-market conditions.