As per the guidelines of the Reserve Bank of India, from 1 August 2025, the trading hours of market repo and Tri-Party Repo (TREP) were extended till what time?

Correct option is A

The correct answer is (a) 4:00 PM

Explanation:

• The Reserve Bank of India (RBI) revised the trading hours for the call/notice/term money, market repo, and tri-party repo markets.
• Effective from August 1, 2025, the trading hours for Market Repo and Tri-Party Repo (TREP) were extended.
• The revised timing for these markets is now from 9:00 AM to 4:00 PM.
• This move aims to deepen the money market and allow market participants more time to manage their liquidity.
• The decision follows the RBI's constant effort to align market timings with pre-pandemic levels or improve market efficiency.

• Market Repo involves borrowing funds by selling securities with an agreement to repurchase them at a future date.
• Tri-Party Repo (TREP) is a repo contract where a third party (the tri-party agent) acts as an intermediary between the two parties.

• While various financial market segments have different closing times, the specific extension for the Repo segments mentioned in the 2025 guidelines was capped at 4:00 PM.