Chennai: Reserve Bank of India Governor Shaktikanta Das today announced targeted long term repo operations to the tune of Rs 50,000 crore to begin with. Based on our how the market uses it the RBI may scale up the amount, he said.
Speaking to the media he said the apex bank would allocate Rs 50,000 cr to small NBFCs to improve liquidity of SMEs.
“RBI increases WMA limit of state govts by 60%,” he said and added that Reverse Repo Rate Reduced by 25 BPS to 3.75% from 4%.
“Taking measures to maintain adequate liquidity in the system, Facilitate and incentivize banks credit flow, Ease financial stress & enable formal functioning of markets,” he added.