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Liquidity to be more in deficit: Subbarao
The Reserve Bank of India (RBI) expected systemic liquidity to be more in deficit than in surplus, RBI Governor D Subbarao said today. He was explaining the reason for RBI’s decision to narrow the corridor of repo and reverse repo rates in its quarterly monetary policy review yesterday. "We expect systemic liquidity will be more in the deficit mode than in the surplus mode going forward,’’