Punjab to float Rs 500 crore state lean

Chandigarh, Jul 7 (UNI) The Punjab Government, in line with the Reserve Bank of India's (RBIs) policy, has proposed to float a state loan of Rs 500 crore to raise part of the borrowings through auction.

Disclosing this here today, an official spokesman said the consent of the Central Government has already been obtained for the floatation of the loan required under Article 293 (3) of the Constitution of India.

The stocks would be of 10 years tenure, which will commence on July 11.

The loan will be repaid at par on July 11, 2018. The interest, however, would be paid every half yearly on January 11 and July 11.

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