Press Information Bureau

Government of India

Ministry of Finance

21-July-2011 18:36 IST

Market Borrowing Programme of Central Government

The Monitoring Group on Cash and Debt Management met, here today. The cash position and market borrowing of the government was reviewed. It has been decided that there will be no change in the amount of market borrowing through dated securities with reference to the first half (April-September 2011) borrowing calendar published earlier. However, the Government of India in consultation with the Reserve Bank of India has decided to shift the auction of dated securities scheduled in the week ending September 23, 2011 to week ending August 19, 2011 to modulate the cash flows. It was also decided that temporary mismatches in cash flows, if any, would be managed by issuance of Cash Management Bills (CMBs).

DSM/SS/GN

Market borrowing schedule adjusted to shift an auction earlier and use Cash Management Bills to manage cash mismatches. The Government maintained the published first-half market borrowing amounts, rescheduled a dated-securities auction to an earlier week to modulate cash flows, and directed that temporary cash mismatches be managed by issuance of Cash Management Bills.