BSE to auction investment limits for Rs18,437 crore govt bonds on Friday
BSE will auction investment limits for overseas investors to purchase government bonds worth a Rs18,437 crore on Friday
New Delhi: Leading stock exchange BSE will auction investment limits for overseas investors to purchase government debt securities worth a staggering Rs18,437 crore on Friday.
The auction will be conducted on BSE’s ebidXchange platform from 3.30pm to 5.30pm after the close of market hours, the exchange said in a circular. The debt auction quota gives overseas investors the right to invest in the debt, up to the limit purchased.
A mock bidding session was conducted on Thursday to check the system’s performance. “Live bidding session for allocation of debt investment limits for FII/FPI and sub-accounts shall be conducted on 15 June 2017 on the exchange’s ebidXchange platform,” BSE said.
During earlier auctions, government bonds were subscribed multiple times, given the huge interest among foreign investors. To boost inflows of foreign funds into Indian capital markets, regulator Securities and Exchange Board of India (Sebi) in April raised the FPI investment limit in central government securities to Rs1.85 lakh crore from Rs1.52 lakh crore.