30 september 2004
rupee
ends higher
mumbai: the rupee finished at 46.00/02 to a dollar
on wednesday. it had closed at 46.1050/1150 against
the dollar on tuesday.
forwards market: the six-month forward closed
lower at 2.04 per cent (2.30 per cent) while the twelve-month
forward closed at 1.75 per cent (1.90 per cent).
g-secs: the 10-year benchmark 7.37 per cent 2014
paper closed at a yield of 6.22 per cent at a price
of rs108.20, 15 paise lower than the previous close.
the 7.38 per cent 2015 paper ended lower at 6.25 per
cent at a price of rs108.95.
call rates: rates went up to 4.75 per cent during
the day before easing to 4.25-4.50 per cent towards
close.
cblo market: 125 trades worth rs 3,766.75 crore
were transacted in the rate range of 4.90 to 1.00 per
cent.
crisil
upgrade for sail bonds
mumbai: crisil has upgraded sail's non-convertible
bonds and fixed deposit programmes to a and fa+ from
bbb and fa respectively.
it also reaffirmed ratings on tata steel's non-convertible
debentures, fixed deposits and commercial paper programmes.
crisil believes the current steel prices will sustain
over the short to medium term.
stressed
asset fund to be a financial institution - idbi becomes
a bank from oct.1
mumbai: the government has accorded the status
of a financial institution to the stressed assets stabilisation
fund (sasf), a rs.9,000-crore special purpose vehicle
that is taking over the non-performing assets of industrial
development bank of india.
in a letter to idbi, the government has said it has
given sasf an institutional status to help it recover
dues from defaulters. the institution has moved the
debt recovery tribunals or courts in many cases and
with this move the government has given the authority
to the sasf to recover dues on its own right. a gazette
notification is awaited.
idbi has also received a communication from the government
declaring the appointed date for its conversion into
a commercial bank as of october 1.
govt.
issues bonds for rs.9,000 crore for the stressed assets
fund
new delhi: the government on wednesday issued
special securities for rs.9,000 crore towards the creation
of the 'stressed assets stabilisation fund (sasf)' to
help industrial development bank of india tackle its
problem of stressed assets.
the amount will be invested in non-interest bearing
special securities of 20-year maturity with a call option.
the transaction is budget neutral for the government,
a finance ministry release said.
the amount realised by sasf on the recovery of dues
will be paid to the government annually. the government
will redeem bonds of an equivalent amount, thus leaving
idbi with an equivalent amount of cash. there will be
no net out-go from the government on account of the
transaction.
with the cleaning up of idbi's books, the net npa position
of idbi is expected to improve, leading to better credit
rating and consequent ability to access lower cost funds
in the domestic and foreign markets to enable idbi to
compete aggressively for business.
tata
motors and leyland upgraded
mumbai: crisil has upgraded the ratings of tata
motors and ashok leyland.
the rating agency said the rating upgrade is driven
by significant improvement in tata motors ltd's financial
risk profile, which it is expected to sustain in the
medium term. this improvement is aided by the stronger-than-expected
performance of the commercial vehicle (cv) industry
in 2004-05 and 2005-06 and the company's successful
placement of its $400 million foreign currency convertible
bond (fccb) issue.
crisil has also upgraded the rating on ashok leyland
limited's non-convertible debenture programme because
of the significant improvement in its financial risk
profile, which it is likely to sustain over the next
few years.
the company's foreign currency convertible bond (fccb)
issue of $100 million significantly enhances ashok leyland's
financial flexibility as it provides it with extremely
low-cost funds, which it can use to fund its capital
expenditure plans and acquisitions, if any.
29 september 2004
rupee
down sharply - bonds rise
mumbai: the rupee closed at 46.1050/1150 against
the dollar. on monday the indian currency had ended
at 45.9550/9650 per dollar.
forwards market: the six-month forward closed
at 2.30 per cent (1.98 per cent) while the twelve-month
forward closed at 1.90 per cent (1.65 per cent).
g-secs: the 10 year benchmark 7.37 per cent 2014
paper closed at rs.108.35 at an yield of 6.19 per cent,
7 basis points higher than previous close of 6.12 per
cent. the 11-year benchmark 7.38 per cent 2015 paper
fell to end at rs.108.95 and its yield rose to 6.24
per cent against previous close of 6.16 per cent.
call rates: in the range of 4.50-4.60 per cent.
cblo market: 100 trades worth rs 2,392.55 crore
were transacted in the rate range of 4.35-4.70 per cent.
rate
slab fixed for sgsy loans
new delhi: the government has asked the reserve
bank of india and nabard to ensure that the loans extended
to self-help groups under swarnjayanti gram swarozgar
yojana (sgsy) is made available within a slab of 4 to
6 per cent interest.
