Government of India

Ministry of Finance

Department of Economic Affairs

Budget Division

New Delhi, dated December 17, 2012

NOTIFICATION

F. No.4 (5)-W&M/2012: Government of India hereby notifies sale (reissue) of ‘8.07 per cent Government Stock, 2017-JUL’ (hereinafter called 'the Stock') for an aggregate amount of Rs. 3,000 crore (nominal). The sale will be subject to the terms and conditions spelt out in this notification (called ‘Specific Notification’) as also the terms and conditions specified in the General Notification F. No. 4 (13)–W&M/2008, dated October 8, 2008 issued by Government of India.

Method of Issue

2. The Stock will be sold through Reserve Bank of India, Mumbai Office, Fort, Mumbai- 400 001 in the manner as prescribed in paragraph 5.1 of the General Notification F. No. 4 (13)–W&M/2008, dated October 8, 2008 by a price based auction using uniform price auction method.

Allotment to Non-competitive Bidders

3. The Government Stock up to 5% of the notified amount of the sale will be allotted to eligible individuals and institutions as per the enclosed Scheme for Non-competitive Bidding Facility in the Auctions of Government Securities (Annex).

Place and date of auction

4. The auction will be conducted by Reserve Bank of India, Mumbai Office, Fort, Mumbai-400 001 on December 21, 2012. Bids for the auction should be submitted in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system on December 21, 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 12.00 noon.

When Issued Trading

5. The Stock will be eligible for ‘When Issued’ trading in accordance with the guidelines issued by the Reserve Bank of India.

Tenure

6. The Stock will be of five-year tenure commencing from July 03, 2012. The Stock will be repaid at par on July 03, 2017.

Date of issue and payment for the stock

7. The result of the auction shall be displayed by the Reserve Bank of India at its Fort, Mumbai office on December 21, 2012. The payment by successful bidders will be on December 24, 2012 i.e., the date of re-issue. The payment for the Stock will include accrued interest on the nominal value of the Stock allotted in the auction from the date of last coupon payment i.e. July 03, 2012 to December 23, 2012.

Interest

8. Interest at the rate of 8.07 per cent per annum will accrue on the nominal value of the Stock from the date of original issue and will be paid half yearly on January 03 and July 03.

By Order of the President of India

(Dr. Rajat Bhargava)

Joint Secretary to the Government of India

Government stock reissue auction using uniform price method; non-competitive allotment allowed and payment due on re-issue date. Reissue of 8.07 per cent Government Stock, 2017-JUL will be sold by uniform price auction on the RBI E-Kuber system with designated windows for non-competitive and competitive bids; up to 5% of the notified amount will be allotted to eligible non-competitive bidders. Auction results will be displayed by the RBI and payment by successful bidders is due on the reissue date, inclusive of accrued interest. The Stock carries a five-year tenure repayable at par and bears 8.07% per annum interest payable semiannually; it is eligible for when-issued trading under RBI guidelines.