New Delhi: The government will not offer statutory liquidity ratio (SLR) status to restructured power distributors’ bonds, power secretary P. Uma Shankar said on Tuesday.
There were media reports earlier in the day, citing power minister Veerappa Moily, that these bonds will get SLR status.
The 10-year benchmark bond recovered 1 basis point to trade at 8.16% on the day.
Indian power distributors had accumulated losses of Rs.2.46 trillion up to the end of the fiscal year ending March 2012, Moily said.
Moily was speaking a day after the government approved a bailout package for the distributors, driven into debt by years of populist policies, corruption and mismanagement. Reuters