The Reserve Bank of India (RBI) will launch inflation-linked bonds every month to attract household savings of up to Rs.15,000 crore in fiscal 2013-14, so as to discourage investments in gold.
The RBI said that in consultation with Government of India, it has decided to launch Inflation Indexed Bonds (IIBs).
The first tranche of IIBs 2013-14 for between Rs.1,000 and Rs. 2,000 croress will be issued on June 4.
The maturity period of these bonds will be for ten years. The total issue size will be between Rs.12,000 and Rs. 15,000 crore rupees in 2013-14.
After the first tranche, bonds will be issued on the last Tuesday of every month.
While the first series of the bonds will be open for all class of investors, the second series issue - beginning October, and will be reserved exclusively for retail investors.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app