DBOD.No. FSC. BC. 117/24.76.002/98

December 15, 1998

Agrahayana 24, 1920 (Saka)

The Chairmen/Chief Executives of all Commercial Banks

Dear Sir,

Ready Forward Transactions

Please refer to our circular DBOD. No. FSC. BC. 113/24.76.002/98 dated December 4, 1998 on the above subject.

2. Reserve Bank of India in consultation with the Government of India has now approved 11.47 per cent Government Stock, 2001 for the purpose of ready forward contracts, in addition to the dated securities approved earlier, provided the transactions are effected at Mumbai and the deals are put through the Subsidiary General Ledger (SGL) Accounts.

3. A directive DBOD. No. FSC. BC. 116/24.76.002/98 dated December 15, 1998 issued in this regard is enclosed.

Yours faithfully,

(Radhe Shyam)

Additional Chief General Manager