RBI announced on December 05, 2025 a reduction in the policy repo rate under the Liquidity Adjustment Facility (LAF) by 25 basis points from 5.50% to 5.25%, effective immediately. Consequently, the standing deposit facility (SDF) rate and marginal standing facility (MSF) rate are adjusted to 5.00% and 5.50% respectively, also with immediate effect. All other terms and conditions of the extant LAF Scheme remain unchanged. Contact Financial Markets Operations Department at Tel: (022)- 22610642, Fax: 022-22630981, E-mail: cgmfmod@rbi.org.in.
Key Entities Referenced
Liquidity Adjustment Facility (LAF): A facility used by the Reserve Bank of India (RBI) to manage liquidity in the money market, impacting repo rates.
Monetary Policy Statement: A document released by the Monetary Policy Committee (MPC) outlining the RBI's monetary policy decisions.
Monetary Policy Committee (MPC): A committee responsible for setting India's monetary policy, including decisions regarding the policy repo rate.
Reserve Bank of India: The central bank of India responsible for regulating the country's monetary policy and banking system.
भारतीय ररज़र्व बैंक
RESERVE BANK OF INDIA
RBI/2025-26/132
FMOD.MAOG.No.153/01.01.001/2025-26
December 05, 2025
All Liquidity Adjustment Facility (LAF) participants
Madam/Sir,
Liquidity Adjustment Facility- Change in rates
As announced in the Monetary Policy Statement dated December 05, 2025, it has been
decided by the Monetary Policy Committee (MPC) to reduce the policy repo rate under the
Liquidity Adjustment Facility (LAF) by 25 basis points from 5.50 per cent to 5.25 per cent with
immediate effect.
2. Consequently, the standing deposit facility (SDF) rate and marginal standing facility (MSF)
rate stand adjusted to 5.00 per cent and 5.50 per cent respectively, with immediate effect.
3. All other terms and conditions of the extant LAF Scheme will remain unchanged.
Yours sincerely,
(G. Seshsayee)
Chief General Manager
वित्तीय बाजार पररचालन विभाग ,केंद्रीय कायाालय ,पहली मंवजल, मुख्य भिन, शहीद भगत स ंह मागा,फोर्ा, मुंबई - 400 001
फोन : 022-22610642, फैक् : 022-22630981 ,ईमेल: cgmfmod@rbi.org.in
Financial Markets Operations Department, Central Office, First Floor, Main Building, Shahid Bhagat Singh Marg, Fort, Mumbai – 400 001
Tel: (022)- 22610642, Fax: 022-22630981, E-mail: cgmfmod@rbi.org.in
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