CURRENT AFFAIRS

Detailed explanation-1: -The investment limit under the VRR is increased to ₹2, 50, 000 crore from ₹1, 50, 000 crore. The updated Directions are as given in the Annex. 5. These Directions shall be applicable with effect from April 1, 2022.

Detailed explanation-2: -Initially, the investment limit under the VRR was INR 75, 000 crores, which was revised to INR 1, 50, 000 crores in January 2020. Vide the 2022 VRR Circular, the RBI has now further increased the investment limit to INR 2, 50, 000 crores.

Detailed explanation-3: -RBI reopens Voluntary Retention Route with investment limit of Rs 2, 50, 000 cr. The Reserve Bank of India had introduced the Voluntary Retention Route (VRR) for investments by Foreign Portfolio Investors.

Detailed explanation-4: -The Reserve Bank of India (RBI) has increased the limit for foreign portfolio investors (FPIs) to invest in the local debt market under the voluntary retention route (VRR) by Rs 1 lakh crore to Rs 2.5 lakh crore, to be effective from April 1.

Detailed explanation-5: -MUMBAI: The voluntary retention route (VRR) cap for foreign portfolio investors (FPIs) will be enhanced by Rs 1 lakh crore to Rs 2.50 lakh crore, given the increased interest shown by them, Reserve Bank of India Governor Shaktikanta Das announced on Thursday.