The Central Government vide notification dated 2nd November, 2021 has issued the Mineral (Auction) Third Amendment Rules, 2021. The amendment provides that the State Government shall charge simple interest at the rate of Twelve percent per annum (instead of previous rate of twenty four percent) on any payment due to State Government under these rules the payment of which is delayed beyond the due date thereof.
This update follows a series of circulars issued between July and September 2025, aimed at ensuring that all investor-facing digital platforms across India’s securities market
These changes aimed at simplifying compliance and enhancing operational flexibility for AIFs.
This step reflects the central bank’s continued use of foreign exchange swap tools to manage durable liquidity and support stability in the money markets.
For market participants, these changes represent an opportunity to engage with a more streamlined, transparent, and globally aligned interest rate derivatives market.
