Rupee down 9 paise
Mumbai: The rupee closed at 45.1550/1650 against the dollar on Friday, nine paise weaker than Thursday's close of 45.0650/0750.
Forwards Market: The six-month forward closed higher by 12.50/14.50 paise at 0.60 per cent (0.46 per cent). The 12-month forward closed at 22/23 paise (0.52 per cent as against 0.45 per cent).
G-Secs: The 8.07 per cent 2017 paper closed lower at Rs 121.08/10 at YTM 5.70 per cent.
Call rates during the day touched 4.40-4.50 per cent and closed at 4 - 4.25 per cent.
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RBI allows banks to raise long-term bonds
Mumbai: The Reserve Bank of India has allowed banks to raise long-term bonds with a minimum maturity of five years to finance infrastructure projects. As per the guidelines issued, banks will be allowed to raise funds to the extent of their exposure of residual maturity of more than five years to the infrastructure sector.

It is intended that banks should have first provided assistance to such infrastructure projects before raising resources through bonds. The bonds may be issued through a public issue or private placement as per SEBI norms. The bonds should be issued in plain vanilla form without call or put option and with a fixed or floating rate of interest.
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Federal Bank: NRI deposit rates revised
Kochi: Federal Bank has revised its interest rates for NRI fixed deposit accounts. According to a press release from the bank, FCNR pound sterling accounts with a three-year maturity will now command an interest rate of 5.34 per cent per annum.

US dollar accounts of the same maturity will carry an interest rate of 3.43 per cent, while the interest rate for the Euro account has been pegged at 2.97 per cent. For a three-year fixed deposit NRI rupee account, the bank offers an interest rate of 3.5 per cent. For two-year deposits it is 2.90 per cent and for one year 2.10 per cent.
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ECGC: Special credit cover plan for software sector
Chennai: Export Credit Guarantee Corporation (ECGC) plans to shortly introduce a special credit insurance package for software exports. In addition to software, ECGC would also ask for the Central Government's support to underwrite overseas projects executed by Indian companies. In view of the large sums involved in overseas projects, ECGC would need the Government's help to underwrite the related risk.

ECGC had also taken note of the growing importance of healthcare exports. The pharmaceutical industry's export to Latin America had grown, and exporters' had drawn attention to the challenges in insuring healthcare exports such as medical transcription. ECGC had registered a premium income of Rs 444 crore and claims of Rs 455 crore in 2003-04. The move to increase ECGC's equity to Rs 800 crore from the current level of Rs 500 crore had been delayed on account of the recently concluded general elections.
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