Money market to open at 2.30 PM on January 22: RBI

Mumbai:  The Reserve Bank on Friday said money markets will open at 2.30 pm instead of 9 am on January 22, with the government announcing a half-day holiday in connection with the consecration of the Ram temple in Ayodhya.

In view of the half-day closing on January 22 announced by the Government of India, the trading hours for the various markets regulated by the Reserve Bank of India have also been truncated, according to a circular.

The trading hours for the central bank regulated markets will be from 2.30 pm to 5 pm on Monday, the Reserve Bank of India (RBI) said in the circular.

The central bank regulated markets are : Call/notice/term money; Market repo in Government Securities; Tri-party repo in Government Securities; Commercial paper and Certificates of Deposit; Repo in Corporate Bonds; Government Securities (Central Government Securities, State Government Securities and Treasury Bills); Foreign Currency (FCY)/Indian Rupee (INR).

"Settlement of the auction of Government of India dated securities conducted on January 19, 2024 will take place on January 22, 2024 after the commencement of market trading hours at 2:30 pm," the RBI said.

The regular trading hours in these instruments will be restored from January 23.

The Department of Personnel and Training issued an order for a half-day closure for central government establishment on Monday.

Public sector banks, insurance companies, financial institutions and regional rural banks (RRBs) across the country will remain closed for half day on January 22.

In another circular, the RBI said the facility of exchange / deposit of Rs 2,000 banknotes will not be available on Monday, January 22, 2024 at any of the 19 Issue Offices of the central bank due to the half-day closure announced by the Government of India.

The facility will resume on Tuesday, January 23, it added.