4 State Loan Auctions On Aug 13

The Reserve Bank of India (RBI) has announced four state government auctions to raise Rs 1,250 crore from the market on August 13.

The 10-year stock will be issued by the RBI on behalf of Andhra Pradesh (Rs 500 crore), Gujarat (Rs 250 crore), Kerala( Rs 250 crore) and Tamil Nadu (Rs 250 crore).

This auction is expected to be well subscribed as the week is devoid of any auctions, except for a 91-day treasury bill to be auctioned for a hiked amount of Rs 1,500 crore.

The auction comes after two tranches of on-tap sale of 6.20 per cent 10-year state development loans towards debt swap programme proposed by the Centre.