New Delhi, March 4 -- The Reserve Bank of India (RBI) may have to inject additional Rs 1 lakh crore into the banking system by March to maintain liquidity at an equilibrium level, according to a report by the State Bank of India (SBI) research.

The report highlighted that systemic liquidity remains tight, with a deficit of approximately Rs 1.6 lakh crore as of the end of February. The average liquidity deficit is higher, at around Rs 1.95 lakh crore.

The banking system has been facing a severe liquidity crunch in recent months, making it one of the worst liquidity shortages in over a decade.

It said "We believe around Rs 1 trillion more will be needed by March still to keep the systemic liquidity just in equilibrium..... Daily FPI outf...