Press Information Bureau

Government of India

Ministry of Finance

16-January-2012 18:30 IST

Auction for Sale of Government Stocks

            Government of India have announced the sale (re-issue) of (i) “7.83 percent Government Stock 2018” for a notified amount of Rs.4,000 crore (nominal), (ii) “8.79 percent Government Stock  2021” for a notified amount of Rs.7,000 crore (nominal), and (iii) “8.83 percent Government Stock  2041” for a notified amount of Rs.3,000 crore (nominal) through price based auctions. The auctions will be conducted using uniform price method. The auctions will be conducted by the Reserve Bank of India, Mumbai Office, Fort, Mumbai on January 20, 2012 (Friday).

            Up to 5% of the notified amount of the sale of the stocks will be allotted to eligible individuals and Institutions as per the Scheme for Non-Competitive Bidding Facility in the Auction of Government Securities.

            Both competitive and non-competitive bids for the auction should be submitted in electronic format on the Negotiated Dealing System (NDS) on January 20, 2012. The non- competitive bids should be submitted between 10.30 a.m. and 11.30 a.m. and the competitive bids should be submitted between 10.30 a.m. and 12.30 p.m. 

            The result of the auctions will be announced on January 20, 2012 and payment by successful bidders will be on January 23, 2012 (Monday). 

            The Stocks will be eligible for “When Issued” trading in accordance with the guidelines on ‘When Issued transactions in Central Government Securities’ issued by the Reserve Bank of India vide circular No. RBI /2006-07/178 dated November 16, 2006 as amended from time to time.

Department of Economic Affairs, Ministry of Finance

New Delhi: Pausha 26, 1933; January 16, 2012

DSM/SS/GN

Government securities auction using uniform price method with reserved non-competitive allocation and specified electronic bid windows. Announcement of a price-based auction using the uniform price auction method for reissued central government stocks, conducted electronically on the Negotiated Dealing System with specific windows for non-competitive and competitive bids; up to five percent of each issue reserved for eligible individuals and institutions under the Scheme for Non-Competitive Bidding Facility; results to be declared on the auction date and payment/settlement on the prescribed subsequent date; securities eligible for When Issued trading per applicable guidance.