Govt announces extra borrowing of Rs460bn

The Government will borrow an additional Rs460bn (US$9.44bn) from the market in four parts between Feb. 20 and March 20, Economic Affairs Secretary Ashok Chawla said in New Delhi. Apart from the debt sales that begin Feb. 20, the Government is scheduled to sell Rs80bn of debt on Feb. 13. The Centre has thus far raised Rs2.4 trillion through sale of securities in the fiscal year ending next month compared with Rs1.79 trillion it had budgeted to borrow at the start of the year. Bonds fell after the Government announced the additional borrowing plan. "We will ensure that the borrowing program is conducted in a non-disruptive manner," RBI Deputy Governor Shyamala Gopinath told reporters after the central bank and finance ministry officials met. The Government is borrowing more to bridge the revenue-expenditure gap, which has been ballooning on account of two stimulus packages and tax concessions granted to boost economic growth