The Reserve Bank of India (RBI) released its money market operations data for October 4, 2026. The report shows a significant net liquidity absorption of over ₹5.15 lakh crore. This highlights the RBI’s continued focus on managing liquidity in the banking system.
Key Details of RBI Money Market Operations
On October 4, 2026, all overnight money market segments recorded zero volume. These included Call Money, Triparty Repo, Market Repo, and Repo in Corporate Bonds. Additionally, the Term Segment showed no activity across all instruments. As a result, weighted average rates and ranges were not applicable for the day.
Under the Liquidity Adjustment Facility (LAF), the RBI conducted Marginal Standing Facility (MSF) operations worth ₹478 crore at a rate of 5.50%. Meanwhile, banks parked a substantial ₹2,03,605 crore under the Standing Deposit Facility (SDF) at 5.00%. Therefore, today’s net liquidity absorption stood at ₹2,03,127 crore.
Outstanding Operations and Liquidity Position
Several outstanding Variable Rate Reverse Repo operations remained active. For example, ₹1,68,055 crore from October 1 and ₹1,06,176 crore from September 7 are both maturing on October 7, 2026, each at a cut-off rate of 5.24%. Additionally, outstanding SDF balances totalled ₹6,465 crore across multiple tenors.
The Standing Liquidity Facility (SLF) availed from the RBI stood at ₹4,113.18 crore. However, when all outstanding operations are combined, net liquidity absorption from outstanding positions reached ₹3,12,531.82 crore. Including today’s operations, the overall net liquidity absorption climbed to ₹5,15,658.82 crore.
What This Means for Banks and the Economy
Scheduled Commercial Banks held cash balances of ₹8,52,282.43 crore with the RBI as on October 4, 2026. This comfortably exceeds the average daily Cash Reserve Requirement of ₹8,17,219 crore for the fortnight ending October 15, 2026. Therefore, banks are currently meeting their reserve obligations with a surplus buffer.
Net durable liquidity in the system stood at a healthy surplus of ₹13,93,819 crore as on September 15, 2026. The Government of India’s surplus cash balance reckoned for auction was nil as on October 1, 2026. Overall, RBI money market operations data signals a system flush with durable liquidity, even as the central bank actively absorbs short-term surplus funds.
Source: RBI Press Releases
