The Reserve Bank of India announced a revised borrowing plan for this financial year after the federal Budget had raised the market borrowing size by Rs 80,000 crore. Majority of the incremental borrowing will be through long term papers with maturities ranging between 10 and 40 years.
Mint Road, investment banker of New Delhi had earlier planned to end sovereign market borrowing by March 12. Now it will be extended to the penultimate week of the current financial year that ends on March 31.
From now onward, the central bank will aim to sell Rs 2.16 lakh crore worth of sovereign papers instead of Rs 1.36 lakh crore planned in October last year.
