 "RBI to auction inflation-indexed bonds worth Rs 1,000 cr on June 4")
The Reserve Bank of India (RBI) will conduct the auction of new inflation-indexed bonds maturing in 2023 on June 4 for a notified amount of Rs 1,000 crore, said a press release issued today. The auction will be conducted using the uniform price method.
According to the release, up to 20 per cent of the notified amount of the sale will be allotted to eligible individuals and institutions as per the scheme for non-competitive bidding facility in the auction.
The result of the auctions will be announced on June 4 and payment by successful bidders will be on the next day. The bonds will qualify for the ready forward facility.
The new 10-year inflation indexed bonds will be reckoned as an eligible investment in government securities by banks for the statutory liquidity ratio purpose, said the release.
According to the release, up to 20 per cent of the notified amount of the sale will be allotted to eligible individuals and institutions as per the scheme for non-competitive bidding facility in the auction.
The result of the auctions will be announced on June 4 and payment by successful bidders will be on the next day. The bonds will qualify for the ready forward facility.
The new 10-year inflation indexed bonds will be reckoned as an eligible investment in government securities by banks for the statutory liquidity ratio purpose, said the release.