Borrowings programme advanced for Rs 4,000 crore; total same

New Delhi, June 20 (UNI) The Finance Ministry today clarified that the gross market programme of Rs 1,52,856 crore for 2006-07 stands unchanged, but indicated that the government would be borrowing in advance an amount of Rs 4,000 crore with its earlier planned tranche of Rs 5,000 crore during June 15 to 24.

Secretary (Economic Affairs) Ashok Jha in an informal chat with journalists said the borrowings programme has been advanced by a little more than a week on two counts. First by due to the excess liquidity in the system and secondly because of the government's own requirements of cash.

Accordingly, on June 16, 2006 the government has notified borrowing of Rs 9,000 crore through re-issue of (a) a year security for Rs 5,000 crore and (b) 15 year security for Rs 4,000 crore.

The Indicative Market Borrowing Calender of the government provides for borrowing of Rs 5,000 crore during June 15 to 24, 2006.

Mr Jha said the additional amount of Rs 4,000 crore included in this tranche was not an addition to the overall borrowing for the year.

"It shall be adjusted against the borrowing schedule for the remaining part of the year," Mr Jha added.

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