India to meet borrowing target, mindful of bond yields: Mayaram

Mumbai – The government will stick to its 2013/14 borrowing programme but will calibrate its debt sale plans according to market conditions, Economic Affairs Secretary Arvind Mayaram said on Thursday.

“We are mindful of what the going yields are and therefore calibrate the borrowing accordingly because markets fluctuate. It`s not that they are fixed at one point,” Mayaram told reporters at the sidelines of a financial event.

“We will continue with what our requirements are. But we will calibrate keeping in mind the market conditions on the day in which we go out,” he said.

The government has outlined a total borrowing plan of 5.79 trillion rupees for the full fiscal year, with 2.35 trillion rupees scheduled to be completed during October-March.

Mayaram also said the Indian central bank is expected to switch back to a “more modest” interest rate regime once the country`s investment cycle picks up.