RBI has removed ₹1 lakh crore from the banking system through the seven-day Variable Rate Reverse Repo (VRRR) auction. RBI received bids worth ₹1,70,880 crore, against this ₹1,00,010 crore was accepted at 5.49% cut-off rate. The move will reduce surplus liquidity in the banking system, as it is in surplus of around ₹4.04 lakh crore as of July 3.