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Liquidity Adjustment Facility – Repo and Reverse Repo Rates

RBI/2009-10/405
FMD.MOAG. No.43/01.01.01/2009-10

April 20, 2010

All Scheduled Commercial Banks (excluding RRBs) and Primary Dealers

Dear Sir,

Liquidity Adjustment Facility – Repo and Reverse Repo Rates

As announced in the Annual Policy Statement for the Year 2010-11, the Reserve Bank has decided to increase the repo rate under the Liquidity Adjustment Facility (LAF) by 25 basis points from 5.00 per cent to 5.25 per cent and the reverse repo rate by 25 basis points from 3.50 per cent to 3.75 percent with immediate effect.

2. All other terms and conditions of the current LAF scheme will remain unchanged.

3. Please acknowledge receipt.

Yours sincerely

(P. Krishnamurthy)
Chief General Manager


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