BSE to auction investments worth Rs 3,011 crore in government debt securities

Leading stock exchange BSE will auction investment limits for overseas investors to purchase government debt securities worth Rs 3,011 crore on Monday.

The auction will be conducted on BSE's 'ebidxchange' platform from 1530 hours to 1730 hours after the close of market hours on February 15, the exchange said in a circular. The debt auction quota gives overseas investors the right to invest in the debt, up to the limit purchased.

A mock bidding session was conducted on Friday to check the system's performance.

"... live bidding session for allocation of debt investment limits for Foreign Institutional Investor (FII)/Foreign Portfolio Investor (FPI) and sub-accounts shall be conducted on Monday, February 15, 2016, on the exchange's 'ebidxchange' platform," BSE said.

Depository data showed that total investments, including limits acquired by foreign investors through auction route, stood at Rs 1,31,924 crore till January 22, which was 97.43% of the total permitted investment limit of Rs 1,35,400 crore in government debt securities.

During earlier auctions, government bonds were subscribed multiple times, given the huge interest among foreign investors.

The limit for overseas investors in securities was hiked to Rs 1,29,900 crore from October 12 and it was further increased to Rs 1,35,400 crore from January 1, 2016. Prior to October limit, they were allowed to invest up to Rs 1,24,432 crore in government debt securities through auction.