Chandigarh, Oct 21: The Punjab government on Tuesday, Oct 21 floated Rs 500 crore loan to finance part of capital expenditure of Plan Schemes and other development programmes under execution. The loan has been floated in consultation with the Reserve Bank of India (RBI), according to an official spokesman.
The State Government notified the sale of Punjab Government Stock (Securities) of 10-year tenure for a aggregate amount of Rs 500 crore (Nominal).
The spokesman said that consent of Central Government had already been obtained to the floatation of this loan.
The spokesman said that the government stock would be sold through RBI, Mumbai, by auction that would be conducted by them in the Mumbai office on October 22 next.
The application form duly filled in with the bids should be submitted to the RBI, Mumbai on October 22 by 1230 hrs.
Result of auction would be displayed on October 23 and successful bidders would make payment same day.
The spokesman said that this 10-year tenure loan would be repaid at par on October 23, 2018. He said that interest will be paid every half yearly on April 23 and October 23.