ICICI has slashed the rate of returns on its latest tranche of Safety Bonds by 25 basis points across all instruments. The Rs 600 crore issue, carrying a 100 per cent greenshoe option, is slated to hit the market on March 18. In February, ICICI slashed the rate of return on most of the various bonds by 25 basis points, thereby nullifying the 25 basis point increase in rates undertaken in early January.
The latest reduction in interest rates comes in the wake of the Budget announcement, reducing the small savings rate. It also comes on the heels of the Industrial Development Bank of India slashing the rate of returns on its Flexibond issue by 25 basis points earlier this week.
The ICICI issue offers six different types of bonds
