|The rate of interest on the Floating Rate Bonds, 2031 (FRB 2031) applicable for the half year December 7, 2018 to June 6, 2019 shall be 8.05 percent per annum.
It may be recalled that FRB, 2031 will carry a coupon, which will have a base rate equivalent to the Weighted Average Yield (WAY) of last 3 auctions (from the rate fixing day i.e. December 7, 2018) of 182 Day T-Bills, plus a fixed spread (1%). The Weighted average yields will be computed by reckoning 365 days in a year. The coupon rate has been fixed accordingly.
Source: RBI Press Releases