FPIs show huge interest for corporate bond limits

In the previous auction, the cut-off bid on corporate bonds stood at eight basis points while that on G-secs stood at 1.75 basis points. The highest bid for corporate bonds on Monday’s auction stood at 25 basis points as against three basis points for G-secs.

Against a notified amount of Rs 3,360 crore for corporate bonds, 58 bidders put in bids for Rs 5,898 crore. For G-secs, 37 bidders put in bids for Rs 7,116 crore against a notified Rs 5,481 crore. Such an auction for corporate bonds is being conducted for a second time in this fiscal year.