'At 6.99%, States continue to pay higher returns for debt'
The Hindu
Fourteen States raised ₹20,600 crore at the State government securities auction on June 29.
Despite the market being awash with ample liquidity, States are forced to offer higher returns on their debt with the weighted average cost for the 14 States that went to the market on June 29 paying 6.99%. At the last week’s auction, the pricing was higher at 7% — the highest since mid-March. Fourteen States raised ₹20,600 crore at the auction of the State government securities on June 29, as Maharashtra and Gujarat accepted an additional amount of ₹500 crore each over the notified amount, while Punjab did not accept any amount on its ₹1,000 crore 20-year offer. The other States accepted the notified amount.More Related News