85 breached
The Indian rupee has breached the significant psychological barrier of 85 against the US dollar, marking an all-time low amid a confluence of domestic and global pressures.
From Monday onwards, there will be an additional collateralised intra-day liquidity facility to enable smooth settlement of the National Electronic Funds Transfer (NEFT) payment system on a 24×7 basis, the Reserve Bank of India (RBI) said on Friday.
NEFT facility is used to electronically transfer funds from one account to another of banks which are members of this system.
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“… In order to facilitate smooth settlement of NEFT transactions in the accounts of the member banks maintained with the Reserve Bank in a 24×7 environment, it has been decided to provide an additional collateralised intra-day liquidity facility, to be called Liquidity Support (LS),” RBI said in a notification.
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The notification further added, “The LS facility will be available for facilitating NEFT settlements on 24×7 basis. The LS facility will operate as per the same terms and conditions as the Intra-Day Liquidity (IDL) facility.”
(With input from agencies)
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