International BusinessStates can now borrow Rs 21k cr States can now borrow Rs 21k cr BS Reporter / New Delhi August 21, 2009, 0:51 IST
Markets extend losses in noon trades
Two people killed at Coromandel's Kakinada plant
Information and Broadcasting Minister Ambika Soni said after the Cabinet meeting that majority of the increased support to state governments would go towards public investment in infrastructure. “The government expects that the relaxation will spur development of infrastructure and employment generation through larger public investment and will accelerate growth revival in the medium term,” she said.
Analysts said the extra borrowing would increase bond supplies, adding to the upward pressure on yields.