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Introduction of Long Term Bond of 40 Years Maturity

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....ntroduction of Long Term Bond of 40 Years Maturity <br>News and Press Release<br>Dated:- 24-4-2015<br><BR>The Government has received proposal to launch long term bond of 40 years maturity. It is prop....

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....osed to introduce a long tenor bond of 40 years maturity n H1 of 2015-16 in view of the elongation of maturity of the portfolio which is preferred to limit rollover risk and is internationally followe....

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....d in the advanced countries. Presently, Government of India securities yield curve spans 30 years and there is reasonable demand for bonds having maturities above 20 years from insurance companies a....

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....nd provident funds seeking to hedge long term liabilities. These investors have evinced interest in 40 year bond. In the backdrop of very flat yield curve as the cost may not be much higher than the 3....

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....0 years security, it is proposed to launch a long term bond of 40 years in current financial year with a small issuance size. It would also help to gauge the quantum of demand of these bonds and the s....

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....ize can be increased/decreased based on experience. This was stated by Shri Jayant Sinha, Minister of State in Ministry of Finance in written reply to a question in the Lok Sabha today.<BR> News - P....

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....ress release - PIB....