RBI extends liquidity support measures till Jan. 28

MUMBAI: The Reserve Bank of India ( RBI) on Monday extended the ongoing measures to provide liquidity comfort to banks, arising out of the frictional liquidity pressure, it said in a statement.

It said it will conduct the second liquidity adjustment facility (LAF) auctions until January 28, extending the previously announced auction end date of December 16. The second LAF would be held on a daily basis at 4:15 p.m. (1045 GMT) it said.

It also added that banks could now avail additional funds of up to 2 per cent of deposits under the LAF on these days as against the previously announced 1 per cent.