The Reserve Bank of India (RBI) extracted 75,026 crore rupees from the banking sector via an overnight Variable Rate Reverse Repo (VRRR) operation, responding to prevailing surplus liquidity. The absorption occurred at a cut-off and weighted average rate of 5.24 per cent. RBI data, as of 22nd September, indicated a 4.45 trillion rupees surplus in the banking system. The RBI has employed VRRR auctions to manage excess liquidity and ensure overnight money market rates are consistent with the repo rate. Concurrent open market operations (OMO) sales of government securities, totaling 50,000 crore rupees on 17th September and 25,000 crore rupees on 21st September, have also been undertaken. A remaining 25,000 crore rupees tranche is slated for 28th September, part of a previously announced one trillion rupees OMO program executed in three installments to govern liquidity dynamics.