**Summary:**
The Government of India, through the Ministry of Finance's Department of Economic Affairs, announces the sale (reissue) of the "8.24 per cent Government Stock 2033" for an aggregate amount of ₹3,000 crore nominal. This sale will adhere to the terms and conditions outlined in this specific notification, as well as the general notification F. No. 4/13/WM/2008, dated October 8, 2008.
The stock will be sold through the Reserve Bank of India (RBI), Mumbai Office, Fort, Mumbai 400 001, via a price-based auction using the multiple price auction method, as detailed in paragraph 5.1 of the general notification. Up to 5% of the notified amount will be allotted to eligible individuals and institutions under the Scheme for Non-competitive Bidding Facility.
The auction will be conducted by the RBI, Mumbai, on January 29, 2016. Bids must be submitted electronically through the RBI's e-Kuber system on the same date. Non-competitive bids are to be submitted between 10:30 a.m. and 11:30 a.m., and competitive bids between 10:30 a.m. and 12:00 noon. The stock is eligible for "When Issued" trading, following RBI guidelines.
The Government Stock has a tenure of 19 years, commencing from November 10, 2014, and will be repaid at par on November 10, 2033. The auction results will be displayed by the RBI at its Mumbai office on January 29, 2016. Payment by successful bidders is due on February 01, 2016, which is the date of reissue, and includes accrued interest from November 10, 2015, to January 31, 2016.
Interest will accrue at a rate of 8.24% per annum on the nominal value, payable semi-annually on May 10 and November 10.
For further information, contact Prashant Goyal, Joint Secretary to the Government of India.
Key Entities Referenced
Ministry of Finance: The ministry within the Government of India responsible for economic and financial matters.
Department of Economic Affairs: A department within the Ministry of Finance responsible for economic policy and development.
Budget Division: A division within the Department of Economic Affairs responsible for budget-related activities.
8.24 per cent Government Stock 2033: A specific government security being reissued through auction.
Reserve Bank of India: The central bank of India, responsible for conducting the auction and managing government securities.
Mumbai, Maharashtra: The city in India where the Reserve Bank of India's office involved in the auction is located.
General Notification F. No. 4 13WM2008, dated October 8, 2008: A previously issued notification providing general terms and conditions for government stock auctions.
Prashant Goyal: The Joint Secretary to the Government of India who signed the notification.
Government of India
Ministry of Finance
Department of Economic Affairs
Budget Division
New Delhi, dated January 22, 2016
NOTIFICATION
Auction for Sale (Re-issue) of 8.24 per cent Government Stock 2033
F. No.4 (2)-W&M/2015(ii):Government of India hereby notifies sale of 8.24 per cent
Government Stock 2033’ (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 January 29, 2016. Bids for the auction should be submitted in electronic format
on the Reserve Bank of India Core Banking Solution (E-Kuber) system on January 29,
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 19 years tenure commencing from November 10, 2014.
The Stock will be repaid at par on November 10, 2033.
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 January 29, 2016. The payment by successful bidders will be on
February 01, 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 November 10, 2015 to January 31, 2016.
Interest
8. Interest at the rate 8.24 per cent per annum will accrue on the nominal value of the Stock
from the date of last coupon payment and will be paid half yearly on May 10 and November
10.
By Order of the President of India
(Prashant Goyal)
Joint Secretary to the Government of India