Vague plans announced in 2009 for the revival of 1970s' and 1980s' style "Aussie bonds" aimed at retail investors have effectively been ditched, budget papers for the Australian Government show.The plan was announced by the Treasurer, Wayne Swan, and followed up by the Australian Office of Financial Management, in the context of the funding needed to support investment in the National Broadband Network.Instead, the regular bond tenders for the Australian Office of Financial Management will, from July 2011, "indicate that some of the proceeds of tenders may be used to finance" the investment in the NBN, Treasury said.On a more serious note, the budget papers provide an update, of sorts, on the Government's thinking on measures to maintain the liquidity of the market for Commonwealth government securities.An advisory panel last year recommended the Government seek to maintain the CGS market at around its current size of 12 to 14 per cent of GDP over time, and, assuming a future budget surpluses - if and when this arises - will lead to a pay-down in net debt.The budget papers note that "maintaining liquidity in the CGS market to support the three- and ten-year bond futures market will continue to be the Government's primary objective, in particular as Australian banks prepare for the 2015 commencement of the Basel III liquidity requirements."Indexed bonds will remain at around 10 to 15 per cent of the size of the total CGS market in indexed securities.The budget papers also refer to a policy to "continue to lengthen the CGS yield curve incrementally, in a manner consistent with prudent sovereign debt management and market demand."