Recently, RBI had announced that the government would be repurchasing the unsuccessful inflation indexed bonds (IIBs) maturing in 2023 through a reverse auction. Which of the following statements is/are correct about Inflation Indexed Bonds (IIBs) in India?
- IIBs are auctioned directly by RBI.
- IIBs are traded in primary as well as secondary market.
- Foreign institutional investors are not allowed to invest in IIBs.
Select the correct option from the codes given below:
Third statement is wrong because both foreign institutional investors and domestic investors are allowed to invest in IIBs.
This question is a part of GKToday's Integrated IAS General Studies Module