The Reserve Bank of India (RBI) has decided to offer two-day funds to banks through the marginal standing facility (MSF).

The MSF window will be open on Saturday between 5 p.m. and 5.30 p.m.

Funds will be repayable on Monday, i.e. on September 16.

The RBI has decided to offer this emergency funding window in view of the current market conditions, a release said on Saturday.

Banks had been forced to borrow funds at a higher rate in the inter-bank market earlier in the day due to outflows to corporate advance taxes, payable by Sunday.

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