Govt to switch seven gilts worth Rs 20K cr via auction on Monday
The government will switch seven bonds totalling 200 bln rupees with three bonds through an auction on Monday, the Reserve Bank of India said in a release today. According to the Centre's borrowing calendar, switches of government bonds are scheduled to be carried out on the third Monday of every month. The Union Budget for 2020-21 (Apr-Mar) had pegged the gilt switch target at a record 2.7 trln rupees. A switch operation entails replacing a security maturing in the near term with a longer-maturity paper, effectively postponing the government's debt repayment to a later date.