RBI-Underwriting Auctions for Government Securities
October, 29th 2014
The Government of India have announced the sale (re-issue) of the Government Stock through auctions to be held on October 31, 2014.
As per revised scheme of underwriting, dated November 14, 2007, the amounts of Minimum Underwriting Commitment (MUC) and the minimum bidding commitment under Additional Competitive Underwriting (ACU) for the underwriting auctions, per Primary Dealer, are as under:
(` in crore)
Nomenclature of the Security
MUC amount per Primary Dealer
Minimum bidding commitment per PD under ACU auction
8.27 per cent GS 2020
8.40 per cent GS 2024
9.20 per cent GS 2030
9.23 per cent GS 2043
The underwriting auctions will be conducted using multiple price based auction method on October 30, 2014. Primary Dealers (PDs) may submit their bids for ACU auctions electronically through Core Banking Solution (E- Kuber) System between 10.30 a.m. and 12.00 noon on the date of underwriting auction.
The underwriting commission will be credited to the current account of the respective PDs at the RBI, Fort, Mumbai on the date of issue of securities.