RBI proposes to return to the normal dispensation under the ‘Marginal Standing Facility’ w.e.f Jan1, 2022.
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Circular no. RBI/2021-22/138 DOR.RET.REC.73/12.01.001/2021-22 Dated: 10-12-2021
The RBI has proposed to return to the normal dispensation under the Marginal Standing Facility (MSF) and, accordingly, banks will be able to dip into the Statutory Liquidity Ratio (SLR) up to 2% of their net demand and time liabilities (NDTL) instead of 3% for overnight borrowing under the MSF with effect from January 1, 2022. This facility, which was initially available up to June 30, 2020, was later extended up to December 31, 2021
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