RBI to allow lending & borrowing of govt bond
- Monday, Feb 8,2023
- 7 comments
Mumbai, Feb 8 (UNI) The Reserve Bank of India (RBI) on Wednesday said it will allow the lending and borrowing of government securities as part of its ongoing endeavour to further develop the government securities market.
"This will provide investors with an avenue to deploy their idle securities, enhance portfolio returns and facilitate wider participation.
This measure will also add depth and liquidity to the G-sec market, aid efficient price discovery, and work towards a smooth completion of the market borrowing programme of the centre and states," RBI Governor Shaktikanta Das said .
As part of the gradual move towards normalising liquidity and market operations, he said it has now been decided to restore market hours for the government securities market to the pre-pandemic timing of 0900 hrs to 1700 hrs.