The Government of India, in consultation with the Reserve Bank of India have decided to repurchase the entire outstanding amount of (i) 8.75 per cent Government Stock 2010 for Rs.500.22 crore, (ii) 12.32 per cent Government Stock 2011 for Rs.9,462 crore and (iii) 6.57 per cent Government Stock 2011 for Rs.18,590.50 crore, for their cash management operations. The repurchase of the Government Stocks will be undertaken in one or more tranches. The repurchase operations would be purely of ad hoc in nature and will be funded through the current surplus cash balances of the Government of India.
The repurchase of the Government Stocks will be undertaken through (i) reverse auction and (ii) secondary market purchases over NDS-OM by the Reserve Bank of India on behalf of the Government of India. The actual procedure to be followed in this regard and the date of repurchase/settlement will be notified by the Reserve Bank of India.
Government of India
Ministry of Finance
Department of Economic Affairs
North Block, New Delhi-110 001
Dated October 21, 2010
