GOVERNMENT OF INDIA
MINISTRY OF FINANCE
(Department of Economic Affairs)
(Budget Division)

New Delhi, the May 18, 2006

F No.4(6)-W&M/2006 : Government of India hereby notifies sale of Government Stock (securities) of 15-year tenure for an aggregate amount of Rs. 5,000 crore (nominal). The sale will be subject to the terms and conditions spelt out in this Notification (called ‘Specific Notification’) as also the terms and conditions specified in the General Notification F.No.4(9) –W&M /2000, dated 6^th May,2002 issued by the Government of India as amended from time to time.

2. The Government Stock will be sold through Reserve Bank of India, Mumbai Office, Fort, Mumbai- 400 001 in the manner as prescribed in paragraph 5.1 of the General Notification F No.4 (9)–W&M/2000 dated 6^th May 2002 by a yield based auction using uniform price auction method.

3. Government Stock up to 5 % of the notified amount of the sale will be allotted to eligible individuals and institutions as per the enclosed Scheme for Non-competitive Bidding Facility in the Auctions of Government Securities (Annexure).

4. The auction will be conducted by the Reserve Bank of India, Mumbai Office, Fort, Mumbai – 400 001 on May 23, 2006. The application form duly filled in with the bids should be submitted to the aforesaid Office on May 23, 2006, by 12.30 P.M.

5. The result of the auction shall be displayed by the Reserve Bank of India at its Fort, Mumbai Office on May 23, 2006. The payment by successful bidders will be on May 24, 2006, i.e., the date of issue.

6. The Government Stock will be of fifteen years tenure. The tenure of the Stock will commence from May 24, 2006. The Stock will be repaid at par on May 24, 2021.

7. The coupon rate for the securities will be set at the cut-off yield to maturity rate decided in the auction. The interest will be payable half-yearly on November 24 and May 24.

By Order of the President of India

(L. M. Vas)
Joint Secretary to the Government of India