Indian Banks

Government of India Ministry of Finance Department of Economic Affairs Budget Division New Delhi, dated January 8, 2010 NOTIFICATION Auction for Sale (Re-issue ) of ‘8.24 per cent Government Stock, 2027′ F. No.4 (1)-W&M/2009(ii): Government of India hereby notifies sale (reissue) of ‘8.24 per cent Government Stock, 2027’ (hereinafter called ‘the Stock’) for an aggregate amount of Rs. 3,000 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 (13)–W&M/2008, dated October 8, 2008 issued by Government of India. Method of Issue 2. The 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 (13)–W&M/2008, dated October 8, 2008 by a price based auction using uniform price auction method. Allotment to Non-competitive Bidders 3. The 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 (Annex). Place and date of auction 4. The auction will be conducted by Reserve Bank of India, Mumbai Office, Fort, Mumbai-400 001 on January 15, 2010. Bids for the auction should be submitted in electronic format on the Negotiated Dealing System (NDS) on January 15, 2010. The non-competitive bids should be submitted between 10.30 a.m. and 11.30 a.m. and the competitive bids should be submitted between 10.30 a.m. and 12.30 p.m. When Issued Trading 5. The Stock will be eligible for “When Issued” trading in accordance with the guidelines issued by the Reserve Bank of India. Tenure 6. The Stock will be of twenty-year tenure commencing from February 15, 2007. The Stock will be repaid at par on February 15, 2027. Date of issue and payment for the stock 7. The result of the auction shall be displayed by the Reserve Bank of India at its Fort, Mumbai Office on January 15, 2010. The payment by successful bidders will be on January 18, 2010, i.e., the date of re-issue. The payment for the Stock will include accrued interest on the nominal value of the Stock allotted in the auction from the date of last coupon payment, i.e., August 15, 2009 to January 17, 2010. Interest 8. Interest at the rate of 8.24 per cent per annum will accrue on the nominal value of the Stock from the date of last coupon payment and will be paid half yearly on February 15 & August 15. By Order of the President of India (Shaktikanta Das) Joint Secretary to the Government of India

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RBI/2009-10/283DBOD.No.FSD.BC. 67 /24.01.001/2009-10
January 7, 2010
All Scheduled Commercial Banks (excluding RRBs)
Dear Sir
Disclosure in Balance Sheet – Bancassurance Business
In order to increase transparency in the financial statements of banks, Reserve Bank of India has from time to time issued circulars to banks requiring disclosures in the ‘Notes to Accounts’ to their Balance Sheet.  These instructions were consolidated in the Master Circular No.DBOD.BP.BC.NO.22/21.04.018/2009-10 dated July 1, 2009.
2. As a further step in enhancing transparency, it has been decided that banks should disclose in the ‘Notes to Accounts’, from the year ending March 31, 2010, the details of fees/remuneration received in respect of the bancassurance business undertaken by them.
Yours faithfully
(P.Vijaya Bhaskar)Chief General Manager-in-Charge

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RBI/2009-2010/282DBOD.No.FID.FIC.7/01.02.00/2009-10
January 5, 2010
The CEOs of the select All-India Term-lending and Refinancing Institutions(Exim Bank, NABARD, NHB and SIDBI)
Dear Sir,
Prudential Norms on Creation and Utilisation of Floating Provisions
It has come to our notice that some of All India Financial Institutions (AIFIs) are using floating provisions to make specific provisions to meet the prudential guidelines by writing back the provisions to income account above the line.
2.   As you are aware that banks are permitted to use the floating provisions only for contingencies under extraordinary circumstances for making specific provisions in impaired accounts after obtaining Board’s approval and with prior permission of RBI.  It is felt necessary to issue similar guidelines to AIFIs also.
3.  It is, therefore, advised that all AIFIs should also follow extant guidelines on `Prudential Norms on Creation and Utilization of Floating Provisions’ issued to banks.  Accordingly, we advise that guidelines issued to banks vide our circular No.DBOD.BP.BC. 89 / 21.04.048/ 2005-06 dated June 22, 2006 and circular No.DBOD.BP.BC.68/ 21.04.048/2006-07 March 13, 2007 (copy enclosed) shall mutatis mutandis apply to AIFIs.
4. In this connection, your attention is also invited to our Circular No. DBOD. FID. FIC 6 / 01. 02. 00 dated December 8, 2009  on Provisioning Coverage for Advances.
Please acknowledge receipt.
Yours faithfully,
(Vinay Baijal)Chief General Manager
Encls : As above

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Ref.No.IDMD /2914/08.02.033/2009-10

January 1, 2010

All Scheduled Commercial Banks /
All State Co-operative Banks/All Scheduled Primary
(Urban) Co-operative Banks /All Financial Institutions/
All Primary Dealers

Dear Sirs,

Auction of Government of India Dated Securities

Government of India have offered to sell (re-issue) of  (a) “7.32 percent  Government Stock 2014 ” for a notified amount of Rs.4,000 crore (nominal) through a price based auction using uniform price method vide Notification No.4(1)-W&M/2009 dated January 1, 2010, (b) “6.90 percent Government Stock 2019” for a notified amount of Rs.3,000 crore (nominal) through a price based auction using uniform price method vide Notification No.4(1)-W&M/2009(i) dated January 1, 2010 and (c) “8.28 percent Government Stock 2032” for a notified amount of Rs. 3,000 crore (nominal) through a price based auction using uniform price method vide Notification No.4(1)-W&M/2009(ii) dated January 1, 2010. The Reserve Bank of India at Mumbai will conduct the auctions on January 8, 2010. The salient features of the auctions and the terms and conditions governing the issue of the Stocks are given in the Notifications (copies enclosed), which should be read along with the General Notification F. No.  4 (13)–W&M/2008, dated October 8, 2008 issued by Government of India.

2. We wish to draw your attention, in particular, to the following:

(i) The Stocks will be issued for a minimum amount of Rs.10,000/- (nominal) and in multiples of Rs.10,000/- thereafter.

(ii) In all the auctions, Government Stock up to 5% of the notified amount of sale will be allotted to the eligible individuals and institutions under the Scheme for Non-competitive Bidding Facility in the Auctions of Government Securities (enclosed with the notifications F. No.4 (1)-W&M/2009, F. No.4 (1)-W&M/2009(i) and F. No.4 (1)-W&M/2009(ii) all dated January 1, 2010). Each bank or PD on the basis of firm orders received from their constituents will submit a single consolidated non-competitive bid on behalf of all its constituents in electronic format on the Negotiated Dealing System (NDS).  Allotment under the non-competitive segment to the bank or PD will be at the cut-off price that will emerge in the auction on the basis of the competitive bidding.

(iii) Both competitive and non-competitive bids for the auction should be submitted in electronic format on the Negotiated Dealing System (NDS) on January 8, 2010. Bids in physical form will not be accepted except in extraordinary circumstances such as general failure of the NDS system. The non-competitive bids should be submitted between 10.30 a.m. and 11.30 a.m. and the competitive bids should be submitted between 10.30 a.m. and 12.30 p.m.

(iv) An investor can submit more than one competitive bids at different prices in electronic format on the Negotiated Dealing System (NDS). However, the aggregate amount of bids submitted by a person in an auction should not exceed the notified amount of auction.

(v) On the basis of bids received, the Reserve Bank will determine the minimum price up to which tenders for purchase of Government Stock will be accepted at the auctions. Bids quoted at rates lower than the minimum price determined by the Reserve Bank of India will be rejected. Reserve Bank of India will have the full discretion to accept or reject any or all bids either wholly or partially without assigning any reason.

(vi) The result of the auctions will be announced on January 8, 2010 and payment by successful bidders will be on January 11, 2010 (Monday).

(vii) The Government Stocks will be issued by credit to Subsidiary General Ledger Account (SGL) of parties maintaining such account with Reserve Bank of India or in the form of Stock Certificate. Interest on the Government Stock will be paid half-yearly.

(viii) The Government Stocks will be repaid at par on October 20, 2014, July 13, 2019 and February 15, 2032, respectively.

(ix) The Stocks will qualify for the ready forward facility.

(x) The Stock will be eligible for “When Issued” trading during the period January 4-8, 2010 in accordance with the guidelines on ‘When Issued’ transactions in Central Government Securities’ issued by the Reserve Bank of India vide circular No. RBI /2006-07/178 dated November 16, 2006 as amended from time to time.

Yours faithfully,

(Rajendra Kumar)
Deputy General Manager

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Government of IndiaMinistry of FinanceDepartment of Economic AffairsBudget Division
New Delhi, dated January 1, 2010
NOTIFICATIONAuction for Sale (Re-issue ) of ‘7.32 per cent Government Stock, 2014′
F. No.4 (1)-W&M/2009: Government of India hereby notifies sale (reissue) of ‘7.32 per cent Government Stock, 2014’ (hereinafter called ‘the Stock’) for an aggregate amount of Rs. 4,000 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 (13)–W&M/2008, dated October 8, 2008 issued by Government of India.
Method of Issue
2    The 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 (13)–W&M/2008, dated October 8, 2008 by a price based auction using uniform price auction method.
Allotment to Non-competitive Bidders
3.   The 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 (Annex).
Place and date of auction
4.    The auction will be conducted by Reserve Bank of India, Mumbai Office, Fort, Mumbai-400 001 on January 8, 2010. Bids for the auction should be submitted in electronic format on the Negotiated Dealing System (NDS) on January 8, 2010. The non-competitive bids should be submitted between 10.30 a.m. and 11.30 a.m. and the competitive bids should be submitted between 10.30 a.m. and 12.30 p.m.
When Issued Trading
5.   The Stock will be eligible for “When Issued” trading in accordance with the guidelines issued by the Reserve Bank of India.
Tenure
6     The Stock will be of five-year tenure commencing from October 20, 2009. The Stock will be repaid at par on October 20, 2014.
Date of issue and payment for the stock
7.   The result of the auction shall be displayed by the Reserve Bank of India at its Fort, Mumbai Office on January 8, 2010. The payment by successful bidders will be on January 11, 2010, i.e., the date of re-issue. The payment for the Stock will include accrued interest on the nominal value of the Stock allotted in the auction from the date of original issue i.e., October 20, 2009 to January 10, 2010.
Interest
8. Interest at the rate of 7.32 per cent per annum will accrue on the nominal value of the Stock from the date of original issue and will be paid half yearly on April 20 and October 20.
By Order of the President of India
(Shaktikanta Das)Joint Secretary to the Government of India

Popularity: 1% [?]

Government of IndiaMinistry of FinanceDepartment of Economic AffairsBudget Division
New Delhi, dated January 1, 2010
NOTIFICATIONAuction for Sale (Re-issue ) of ‘8.28 per cent Government Stock, 2032’
F. No.4 (1)-W&M/2009(ii): Government of India hereby notifies sale (reissue) of ‘8.28 per cent Government Stock, 2032’ (hereinafter called ‘the Stock’) for an aggregate amount of Rs. 3,000 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 (13)–W&M/2008, dated October 8, 2008 issued by Government of India.
Method of Issue
2. The 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 (13)–W&M/2008, dated October 8, 2008 by a price based auction using uniform price auction method.
Allotment to Non-competitive Bidders
3. The 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 (Annex I).
Place and date of auction
4. The auction will be conducted by Reserve Bank of India, Mumbai Office, Fort, Mumbai-400 001 on January 8, 2010. Bids for the auction should be submitted in electronic format on the Negotiated Dealing System (NDS) on January 8, 2010. The non-competitive bids should be submitted between 10.30 a.m. and 11.30 a.m. and the competitive bids should be submitted between 10.30 a.m. and 12.30 p.m.
When Issued Trading
5. The Stock will be eligible for “When Issued” trading in accordance with the guidelines issued by the Reserve Bank of India.
Tenure
6. The Stock will be of twenty five-year tenure commencing from February 15, 2007. The Stock will be repaid at par on February 15, 2032.
Date of issue and payment for the stock
7.  The result of the auction shall be displayed by the Reserve Bank of India at its Fort, Mumbai Office on January 8, 2010. The payment by successful bidders will be on January 11, 2010 i.e., the date of re-issue. The payment for the Stock will include accrued interest on the nominal value of the Stock allotted in the auction from the date of last coupon payment i.e., August 15, 2009 to January 10, 2010.
Interest
8. Interest at the rate of 8.28 per cent per annum will accrue on the nominal value of the Stock from the date of last coupon payment and will be paid half yearly on  February 15 and August 15.   By Order of the President of India
(Shaktikanta Das)Joint Secretary to the Government of India

Popularity: 1% [?]