The Reserve Bank of India (RBI) today (October 27) said that Rs 112 billion are available under the special lending window set up by the central bank to deal with the redemption pressures of mutual funds.

It may be recalled that the Reserve Bank of India had announced earlier that it would conduct the special fixed rate term repo under liquidity adjustment facility every day until further notice up to a cumulative amount of Rs 200 billion for the same purpose. Banks have utilized Rs 88 billion of this facility till Oct. 24, 2008.

In addition, in terms of further measures for improving domestic and foreign currency liquidity announced on Oct. 15, 2008, banks may avail of additional liquidity support exclusively for the purpose of meeting the liquidity requirements of mutual funds to the extent of up to 0.5% of their NDTL.