On April 9, 2025, the Reserve Bank of India (RBI) issued a notification following the bi-monthly Monetary Policy Committee (MPC) meeting. The MPC decided to reduce the policy repo rate under the Liquidity Adjustment Facility (LAF) by 25 basis points, bringing it down from 6.25% to 6.00%, effective immediately. In line with this rate adjustment, the RBI announced that the Standing Liquidity Facility (SLF) provided to Primary Dealers (PDs)—which serves as collateralised liquidity support—will now be available at the revised repo rate of 6.00%. This decision reflects the central bank’s ongoing monetary stance and is aimed at influencing short-term interest rates and liquidity in the financial markets.
Reserve Bank of India
India’s Central Bank
Notifications
Standing Liquidity Facility for Primary Dealers
RBI/2025-26/24
REF.No.MPD.BC.399/07.01.279/2025-26 Dated: April 09, 2025
All Primary Dealers,
Standing Liquidity Facility for Primary Dealers
As announced in today’s bi-monthly Monetary Policy Resolution, the Monetary Policy Committee (MPC) has decided to reduce the policy repo rate under the Liquidity Adjustment Facility (LAF) by 25 basis points from 6.25 per cent to 6.00 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 6.00 per cent, with immediate effect.
Yours faithfully,
(Anupam Prakash)
Adviser-in-Charge
