New Delhi: Government debt securities on Tuesday attracted bids worth a staggering Rs 7,494 crore ($1.12 billion) from foreign investors as against Rs 7,046 crore on offer in an online auction.
The auction was conducted on stock exchange NSE's 'e-bid' platform from 3:30 p.m. to 5:30 p.m. after the close of market hours. At the end of the two-hour auction, all the 27 bids were declared successful.
The debt auction quota gives overseas investors the right to invest in the debt up to the limit purchased.
Total investment in government debt has reached Rs 1,36,954 crore till Friday, which was 95.11 per cent of total permitted limit of Rs 1.44 lakh crore.
Consequently, the exchange had decided to conduct an auction for the allocation of unutilized debt limits to the tune of Rs 7,046 crore.
Besides, a mock bidding session was conducted in this regard on Friday.
In an online auction conducted last month, the government debt securities had attracted bids worth a staggering Rs 10,599 crore from foreign investors as against Rs 9,358 crore on offer.
To boost foreign flows, the limit for overseas investors in central government securities has been increased from Rs 1.40 lakh crore to Rs 1.44 lakh crore from July 5.