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Rs 24,000 crore worth of Government bonds to be auctioned this Friday

Finance Ministry Announces Government Bond Sale Worth Rs 24,000 Crore

New Delhi, April 15 (IANS) – The Finance Ministry revealed the launch of government bonds totaling Rs 24,000 crore in two categories. The initial batch includes ‘7.37 per cent Government Security 2028’ for Rs 12,000 crore through a price-based auction, while the second set comprises ‘New Government Security 2064’ worth Rs 12,000 crore through a yield-based auction.

The Finance Ministry stated that additional subscriptions up to Rs 2,000 crore for each security will be allowed. The auctions are set to be conducted by the Reserve Bank of India (RBI) in Mumbai on April 19. Up to 5 per cent of the sale will be reserved for eligible individuals and institutions under the Non-Competitive Bidding Facility scheme.

All bids for the auctions must be submitted electronically on the RBI Core Banking Solution (E-Kuber) system on April 19. Non-competitive bids are scheduled between 10:30 a.m. and 11 a.m., while competitive bids should be submitted between 10:30 a.m. and 11:30 a.m. The results of the auctions will be disclosed on April 19, with payments due on April 22.

The Finance Ministry stated that the securities will qualify for ‘When Issued’ trading as per RBI guidelines. Investors and institutions are encouraged to participate in the auction, contributing to the government’s borrowing program.

–IANS
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