**Policy Summary:**
This Reserve Bank of India (RBI) notification, reference number RBI201819119 (MPD.BC.38507.01.279201819), dated February 07, 2019, informs all Primary Dealers (PDs) of a change to the Standing Liquidity Facility. As stated in the Sixth Bimonthly Monetary Policy Statement 2018-19, the Monetary Policy Committee (MPC) reduced the repo rate under the Liquidity Adjustment Facility (LAF) by 25 basis points. Consequently, the repo rate is revised from 6.50 percent to 6.25 percent, effective immediately (February 07, 2019). The Standing Liquidity Facility provided to Primary Dealers, offering collateralized liquidity support from the Reserve Bank, will now be available at the revised repo rate of 6.25 percent, effective February 07, 2019. For further information, contact the Monetary Policy Department, Central Office, Reserve Bank of India at P.B. NO. 406, Mumbai 400 001, Tel: 912222601000; FAX 9122 22610430/22700850/22610432/22631006, or via email at helpmpd@rbi.org.in. The Principal Adviser, Janak Raj, issued the notification.
Key Entities Referenced
Reserve Bank: The central bank, providing liquidity support to Primary Dealers.
Primary Dealers: Entities that participate in the government securities market.
Standing Liquidity Facility: A facility provided to Primary Dealers for collateralised liquidity support.
Monetary Policy Committee: The committee responsible for setting monetary policy.
Liquidity Adjustment Facility: A tool used by the Reserve Bank to manage liquidity in the market.
repo rate: The rate at which the Reserve Bank lends money to commercial banks against the collateral of government securities.
Janak Raj: Principal Adviser at the Monetary Policy Department.
Mumbai, Maharashtra: Location of the Central Office of the Monetary Policy Department.
RBI/2018-19/119
REF. No. MPD.BC.385/07.01.279/2018-19 February 07, 2019
All Primary Dealers,
Standing Liquidity Facility for
Primary Dealers
In the Sixth Bi-monthly Monetary Policy Statement 2018-19 of the Monetary
Policy Committee (MPC) of February 7, 2019, the repo rate under the Liquidity
Adjustment Facility (LAF) has been reduced by 25 basis points to 6.25 per cent from
6.50 per cent with immediate effect.
2. Accordingly, the Standing Liquidity Facility provided to Primary Dealers (PDs)
(collateralised liquidity support) from the Reserve Bank would be available at the
revised repo rate of 6.25 per cent with effect from February 07, 2019.
Yours faithfully,
(Janak Raj)
Principal Adviser
______________________________________________________________________________________________________
मौ�द्रक नी�त �वभाग, क�द्र�य कायार्लय भवन, शह�द भगत �सहं माग,र् पोस्ट बॉक्स सं.406, मुंबई- 400 001 भारत
Monetary Policy Department, Central Office, Central Office Building, Shahid Bhagat Singh Road, P.B. NO. 406,
Mumbai- 400 001,
(Tel): (91-22)22601000; FAX (91-22) 22610430/22700850/22610432/22631006 E-MAIL: helpmpd@rbi.org.in
�हदं � आसान है, इसका प्रयोग बढ़ाइए