The Reserve Bank of India (RBI) has opted to introduce a 10% incremental cash reserve ratio (ICRR) temporarily, aiming to reduce excess liquidity in the banking system following the withdrawal of the Rs 2,000 currency note. RBI Governor Shaktikanta Das stated that this move will remove over Rs 1 lakh crore of excess liquidity. The decision was prompted by the significant return of over 90% of the withdrawn Rs 2,000 banknotes. Despite this liquidity adjustment, Das reassured that the public, industry, and systems will not face issues during the festive season, and there is no undue concern regarding Russian investments in Indian government bonds.