## Summary of Government of India Notification: Auction for Sale Reissue of 8.13 per cent Government Stock 2045
This notification, issued by the Government of India, Ministry of Finance, Department of Economic Affairs on July 04, 2016, announces the sale reissue of the 8.13 per cent Government Stock 2045 for an aggregate amount of ₹3,000 crore nominal. The sale will be conducted through a price-based auction using the multiple price auction method, managed by the Reserve Bank of India (RBI), Mumbai Office.
Up to 5% of the notified amount will be allotted to eligible individuals and institutions through the Scheme for Non-competitive Bidding Facility in the Auctions of Government Securities.
The auction will be held on July 08, 2016, with non-competitive bids submitted between 10:30 a.m. and 11:30 a.m., and competitive bids submitted between 10:30 a.m. and 12:00 noon on the Reserve Bank of India Core Banking Solution E-Kuber system.
The stock is eligible for When Issued trading, and has a tenure of thirty years commencing from June 22, 2015, repayable at par on June 22, 2045. Interest at a rate of 8.13 per cent per annum will accrue on the nominal value of the Stock, payable semi-annually on December 22 and June 22.
The results of the auction will be displayed by the RBI at its Fort, Mumbai Office on July 08, 2016. Payment by successful bidders is due on July 11, 2016, which includes accrued interest from June 22, 2016, to July 10, 2016.
The notification references General Notification F. No. 4(13)WM2008, dated October 8, 2008, for additional terms and conditions. Further information can be obtained from the Reserve Bank of India, Mumbai Office, Fort, Mumbai 400 001. The issuing authority is Prashant Goyal, Joint Secretary to the Government of India.
Key Entities Referenced
Ministry of Finance: The ministry responsible for financial matters in the Government of India.
Department of Economic Affairs: A department within the Ministry of Finance, Government of India.
8.13 per cent Government Stock 2045: A specific government bond being reissued.
Reserve Bank of India: The central bank of India, responsible for conducting the auction.
Mumbai Office, Fort, Mumbai: The specific branch of Reserve Bank of India, located in Maharashtra, where the auction is conducted.
General Notification F. No. 4 13WM2008: A general notification providing the terms and conditions for government stock auctions.
Scheme for Noncompetitive Bidding Facility in the Auctions of Government Securities: A scheme that allows eligible individuals and institutions to participate in government security auctions on a non-competitive basis.
Prashant Goyal: Joint Secretary to the Government of India.
Government of India
Ministry of Finance
Department of Economic Affairs
Budget Division
New Delhi, dated July 04, 2016
NOTIFICATION
Auction for Sale (Re-issue) of 8.13 per cent Government Stock 2045
F. No.4 (3) W&M/2016(iii):Government of India hereby notifies sale of ‘8.13 per cent Government Stock
2045’ (hereinafter called 'the Stock') for an aggregate amount of ` 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 multiple 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
July 08 2016. Bids for the auction should be submitted in electronic format on the Reserve Bank of India
Core Banking Solution (E-Kuber) system on July 08, 2016. 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 Government Stock will be of thirty years tenure commencing from June 22, 2015. The Stock will
be repaid at par on June 22, 2045.
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
July 08, 2016. The payment by successful bidders will be on July 11, 2016. 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. June 22, 2016 to July 10, 2016.
Interest
8. Interest at the rate of 8.13 per cent per annum will accrue on the nominal value of the Stock from the
date of last coupon and will be paid half yearly on December 22 and June 22.
By Order of the President of India
(Prashant Goyal)
Joint Secretary to the Government of India