Mumbai, May 22 -- Reserve Bank of India or RBI stated in a latest monthly update that System liquidity surplus persisted in April and May (up to May 19, 2025), supported by the Reserve Bank's proactive liquidity management measures. However, the build-up of government cash balances - driven by advance tax payments and GST outflows - and an increase in currency in circulation (CiC) exerted some pressure on liquidity conditions in the second half of April. The Reserve Bank injected a cumulative amount of Rs 1.68 lakh crore into the banking system through one main 14-days variable rate repo (VRR) and twenty- one fine-tuning VRR operations with maturities ranging from 1 to 4 days during April 16 to May 19, 2025. Reflecting these developments,...