Government to raise Rs13,000 crore through bond sale
14 Nov 2012
The government will sell three dated securities through auction on 16 November to raise a total of Rs13,000 crore, the Reserve Bank of India (RBI) announced today.
RBI said the government has lined up the sale (re-issue) of 8.07 per cent 2017 stock for a notified amount of Rs4,000 crore, 8.15 per cent 2022 stock for a notified amount of Rs6,000 crore and 8.97 per cent 2030 stock for a notified amount of Rs3,000 crore through price-based auction.
The auctions will be conducted by using uniform price method at RBI's Mumbai office (Fort) on Friday, RBI said in a release.
Up to 5 per cent of the notified amount of the sale of the stocks will be allotted to eligible individuals and institutions as per the scheme for non-competitive bidding facility in the auction of government securities.
Both competitive and non-competitive bids for the auction should be submitted in electronic format on RBI Core Banking Solution (E-Kuber) system on 16 November 2012.
The non-competitive bids should be submitted between 10.30 a.m. and 11.30 a.m. and the competitive bids should be submitted between 10.30 a.m. and 12.00 noon, RBI said.
