The Telangana Government has apparently landed in a piquant situation in raising resources through open market borrowings for the January-March quarter of the current financial year.
The government, according to the indicative calendar of the Reserve Bank of India (RBI), indicated that it will raise ₹13,000 crore during the last quarter through auction of securities. Accordingly, it said it proposed to raise ₹1,000 crore during the auctions to be conducted by the RBI on January 9 as the first instalment.
The State has however not submitted its indent for raising the amount on January 9 going by the list of States which offered to sell stock by way of an auction released by the RBI. “We are yet to get permission from the Central Government,” a senior Finance department official said when asked why the State backed out from the auction of securities.
