Another big system deficit 23 April 2008 4:16PM John Kavanagh The Reserve Bank reported a system cash deficit of $4.2 billion yesterday, the largest since January. This follows yesterday's report of a system cash deficit of $3.6 billion. Both deficits were due, for the most part, to money flowing out of banks to make seasonal tax payments. RBA foreign exchange swaps and repo unwindings may also have been factors.The bank entered into repurchase agreements to buy $3.6 billion of ADI issued securities and $250 million of government securities. The RBA did not deal in RMBS yesterday. In recent weeks the RBA has been offering longer terms, out as far as 12 months, for repurchase agreements.This has resulted in counterparties dealing in long-dated bills and RMBS.