The turnover of the company during the year was Rs 17,126 crore, up by 20.9 per cent from the previous year's Rs 14,164 crore. GSTC has maintained its dividend at 10 per cent "as a prudent policy to allow ploughing back of profits," a company statement issued in Mumbai on Saturday said.

In its primary market operations in treasury bills and government of India securities, the company had a turnover of Rs 4,205 crore last year, while from the secondary market it notched up a turnover of Rs 12,921 crore.

"Despite the difficult market conditions, GSTC has been able to show satisfactory results by judicious mix of security portfolio and active trading in the secondary market coupled with increased focus on risk management," GSTC managing director SA Shanbhagsaid.

"The fiscal deficit is expected to continue at reasonably high levels during 1999-2000. Though the gross borrowing estimated at Rs 84,014 crore is lower than the gross borrowing of Rs 93,953 crore of previous year, the same is expected to exceed the estimates," he added.