 "RBI, bank employees, strike, demonetisation")
The Reserve Bank of India (RBI) has converted four types of securities totalling Rs 37,078 crore and maturing in 2017-18, to longer-tenure ones maturing in 2024-25 and 2029-30.
This takes off redemption pressure. About Rs 2.30 lakh crore of bonds are scheduled to mature in 2017-18 and the market was expecting the government to do some aggressive 'switching' of these bonds to longer-tenure debt paper.
The consensus estimate of the market is the government would redeem about Rs 1.75 lakh crore of bonds in the next financial year so that the gross borrowing programme can be kept in check.
