“The module permits internet-based direct participation of gilt account holders in primary auctions of government securities or G-Secs
Mumbai: Reserve Bank of India (RBI) said it implemented its web-based online bidding in primary auctions of government securities, reports PTI.
The module on web-based negotiated dealing system (NDS) auction will allow internet-based direct participation of gilt account holders.
“The module permits internet-based direct participation of gilt account holders (GAHs) in primary auctions of government securities (G-Secs)”, the RBI said in a notification.
'Gilt account' is used by the RBI to refer to a constituent account maintained by a custodian bank for maintenance and servicing of dematerialised government securities owned by a retail customer.
Since February 2012, the apex bank has introduced an additional facility of web-based NDS auction module to facilitate online bidding by constituents’ subsidiary general ledger clients (CSGL clients) or GAHs in primary auctions of G-Secs.
However, it said, the access is subject to controls by respective primary member (PM) as it would continue to be responsible for settlement of CSGL bids or trades in respect of its GAHs, as is presently the case.
The web-based auction module is an additional facility and all regulations related to current CSGL account holders or PMs and client bidding system would remain, the RBI said in the notification.
“All actions on web-based NDS auction application would also be governed by the extant rules, regulations, notifications and/or any other instructions issued by it from time to time,” it informed.
The investment in the bond -- Postal Life Insurance Government of India Special Floating Rate Security 2022 -- by the banks and insurance companies will not be reckoned as an eligible investment in government bonds for their statutory requirements, the Finance Ministry said in a statement
New Delhi: The government announced issue of Special Floating Rate Bond worth Rs7,000 crore.
“The Special Bonds are being issued at par to Department of Post as of 30 March 2012, as part conversion of the frozen corpus of Post Office Life Insurance Fund (POLIF) and Rural Post Life Insurance Fund (RPOLIF),” the Finance Ministry said in a statement.
The investment in the bond -- Postal Life Insurance Government of India Special Floating Rate Security 2022 -- by the banks and insurance companies will not be reckoned as an eligible investment in government bonds for their statutory requirements, it added.
However, such investment by the insurance companies will be eligible to be reckoned as investment under 'other Approved Bonds'.
Further, the investment by the Provident Funds, Gratuity Funds, Superannuation Funds, in the bonds will be treated as an eligible investment, the ministry said.
Under the agreement, M&M (Mahindra and Mahindra) customers will be able to avail of vehicle finance from any of the 450-plus branches of KVB (Karur Vysya Bank),” a bank release said
Mumbai: Private sector lender, Karur Vysya Bank (KVB) has signed a preferred financier agreement with automotive major Mahindra and Mahindra for providing auto finance to its customers.
“Under the agreement, M&M customers will be able to avail of vehicle finance from any of the 450-plus branches of KVB,” a bank release said.
Chief executive officer and managing director of Karur Vysya Bank, K Venkataraman, said, “KVB is expanding its operations in commercial and passenger vehicle financing. Customers of KVB will be benefited out of this tie-up since they will have privileged access to the specialised services of M & M along with provision of loans for purchase of vehicles at a comparatively low EMI.”
M&M said that they expect good response from dealers and customers post this arrangement.
“KVB’s specialised rates for bus operators, educational institutions and medium and small enterprises will help Mahindra BOP and CV product range customers. With highly competitive schemes for car loans and commercial vehicles, we are hopeful of a good response from our dealers and customers,” senior vice president, sales and customer care (automotive division) of M&M, Arun Malhotra said.