GoI to announce sale of two dated securities on Oct 10

Written by:
Subscribe to Oneindia News

Mumbai, Oct 3 (UNI) The Government of India has announced the sale of a ''new six-year Government Stock'' for a notified amount of Rs 6,000 crore (nominal) through a yield based auction using multiple price method.

The GoI has also announced the sale (re-issue) of 7.95 per cent Government Stock 2032 for a notified amount of Rs 4,000 crore (nominal) through a price based auction using multiple price method.

The auctions will be conducted by the Reserve Bank of India (RBI) head office in south Mumbai on October 10, a RBI release said.

Up to five per cent of the notified amount of the sale of both 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. Bids in the prescribed form obtainable from the Regional Director, Reserve Bank of India, Mumbai Office and RBI website www.rbi.org.in should be submitted to that Office on October 10.

The NDS members should submit competitive as well as non-competitive bids in electronic format using Primary Market Operation (PMO) module of NDS. All bids should be submitted by 1230 hrs on October 10 and the result of the auctions will be announced the same day. The successful bidders can make payment during banking hours on October 13. The stocks will qualify for the ready forward facility.

The underwriting of the Government Securities under auctions by the 'Primary Dealers' will be as per the Revised Scheme of Underwriting Commitment and Liquidity Support announced by the Reserve Bank vide circular RBI/2007-08/186 dated November 14, 2007.

Bids for underwriting of the Additional Competitive Underwriting (ACU) portion can be submitted by 'Primary Dealers' up to 1230 hrs on October eight, using PMO module of NDS.

The Stocks will be eligible, when issued, for trading for a period commencing from October six to 10 in accordance with the guidelines on 'When Issued transactions in Central Government Securities' issued by the Reserve Bank of India vide circular No.

RBI/2006-07/178 dated November 16, 2006, as amended from time to time, the release added.


Please Wait while comments are loading...