Question

    What is the new Standing Deposit Facility (SDF) rate as

    per the June 2025 MPC meeting?
    A 5.75% Correct Answer Incorrect Answer
    B 5.50% Correct Answer Incorrect Answer
    C 5.25% Correct Answer Incorrect Answer
    D 5.00% Correct Answer Incorrect Answer
    E 4.50% Correct Answer Incorrect Answer

    Solution

    The Standing Deposit Facility (SDF) is a tool used by the RBI to absorb excess liquidity. After the June 2025 55th Monetary Policy Committee (MPC) meeting, the SDF rate was revised to 5.25%. The SDF typically lies 25 basis points below the repo rate, which now stands at 5.50%.

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