Fertiliser Bonds Losses will be Reimbursed by the Government

Fertiliser Bonds losses will be reimbursed by the Government

In 2007, The Government of India issued Rs.3890 Cr Fertiliser Bonds. But well, unfortunately, these bonds have made severe loss and the government may reimburse this loss.

Sources indicate that some sort of finality has been given to this proposal. A sum of Rs 1,400 crore is tentatively being mentioned at this point as the likely cash reimbursement. Let me point out here, that this is not the final sum, a formal proposal is yet to be put forward and obviously the finance ministry will take a final call on this.

These bonds have incurred losses because in the past the government had sold these bonds at deep discounts. And this is the prime reason why these bonds have incurred the losses.