Sale of Maharashtra bonds 2031
The Government of Maharashtra has issued a total bond of Rs. 3000 crore for a period of 11 years. The sale will be subject to the terms and conditions mentioned in the specified notification of the Government, as well as the terms and conditions mentioned in the amended general notification dated May 16, 2019 of the State Government LNF 10.19 / Q.No.10 / Arthapaya, amended from time to time.
The proceeds from the loan will be used to finance the Government of Maharashtra's development programs. Under Article 293 (3) of the Constitution of India, the Central Government has sought permission to raise such a loan. Sale of Government Bonds by Reserve Bank of India, Fort, Mumbai 400 001 Revised General Notification No. dated May 16, 2019 LNF. 10.19 / Q. No. 10 / Arthopaya, paragraph 6.1 will be auctioned as per the procedure prescribed.
Provided to Non-Competitive Beaters, State Government General Notification No. LNF. 10.19 / Q.10 / Ayopay, dated 16th May, 2019 as per non-competitive auction method (revised) 10% of the total notified Government Debt amount will be allotted to eligible individual and institutional investors. However, an investor will be allotted up to a maximum of 1 per cent of the total notified amount.
Date and Venue of Auction - The auction will be held at the Reserve Bank of India on June 2, 2020 at its office in Fort, Mumbai. Bids for the auction should be submitted on 2nd June, 2020 according to the following computer system, Reserve Bank of India, Core Banking Solution (e-Kuber) system: (a) Competitive bids through computer system, Reserve Bank of India, Core Banking Solution (e-Kuber) According to the system; it should be submitted from 10.30 am to 11.30 pm.
Non-competitive WIDS should be submitted through computer system, from 10.30 am to 11.00 am according to Reserve Bank of India, Core Banking Solution (E-Kuber) system. The result of the auction will be published by the Reserve Bank of India, Mumbai on its website on the same day, and the successful bidders will be paid on June 3, 2020.
Procedure for issuance - Payment by successful bidders on June 03, 2020 at the office of Reserve Bank of India, Fort, Mumbai in cash, bankers checks / issuance orders, demand drafts or checks payable to their account at Reserve Bank of India, Mumbai before the end of working hours Will be provided.
Debt period - The term of the bond will be 11 years. The bond period will start from June 03, 2020. Repayment Date - On June 3, 2031, the loan will be repaid at full cost. Rate of interest.— The rate of maximum receipt will be equal to one hundred percent coupon rate per annum on bonds sold at auction, interest will be paid on half yearly basis on December, 03 and June, 03 of each year.
Eligibility for Loans.- Banks' investment in government securities will be deemed eligible for the purpose of Statutory Cash Easiness Ratio (SLR) under Section 24 of the Banking Regulations Act, 1949. These bonds will be admissible for resale purchase.
