The current MSF (Marginal Standing Facility) rate is 6.75%, as of February 8, 2024.
Here's a breakdown of the MSF rate and related information:
- MSF Rate: 6.75%
- Last Updated: February 8, 2024
- Source: Bajaj Housing Finance
The MSF is a facility under which scheduled commercial banks can borrow additional amounts of overnight money from the Reserve Bank of India (RBI) by dipping into their Statutory Liquidity Ratio (SLR) portfolio up to a limit at a penal rate of interest. This provides a safety valve against unexpected liquidity shocks to the banking system. The MSF rate is typically pegged above the repo rate. The repo rate is the rate at which the RBI lends money to commercial banks. The current repo rate is 6.50% as of February 8, 2024, which confirms the MSF rate is slightly higher.
