RBI settles for less in Rs 30,000-cr bond switch

Mumbai: The Reserve Bank of India in the switch auction on Monday accepted just half of the notified amount, as bids were likely higher than the central bank's comfort zone, traders said. Out of the ₹30,000 crore notified amount, the Reserve Bank of India accepted ₹14,497 crore. A bond switch is when the government replaces bonds maturing in the near term with long term bonds to smoothen redemptions in a particular fiscal year.