Document title: Auction of Government of India Dated Securities
Issuing authority: Reserve Bank of India (RBI)
Reference: Press Release 2026-2027/1006, Deputy General Manager
Date: 31 August 2026
Macroeconomic Outlook
The Government of India (GoI) has announced the issuance/re‑issue of two dated securities with a total notified amount of ₹32,000 crore, reflecting fiscal financing needs. The securities are New GS 2031 (₹21,000 crore, repayment on 7 Sep 2031) and 7.71% GS 2066 (₹11,000 crore, repayment on 18 May 2066). The GoI retains an option to accept additional subscriptions up to ₹2,000 crore for each security, indicating flexibility in debt management.
Capital Markets and Flows
The auction will be conducted by the RBI Mumbai Office using a multiple‑price method. Bids—both competitive and non‑competitive—must be submitted electronically via the RBI Core Banking Solution (e‑Kuber) on 4 September 2026 (Friday). Non‑competitive bids are accepted between 10:30 a.m. and 11:00 a.m.; competitive bids between 10:30 a.m. and 11:30 a.m. Results will be announced the same day, with payment due on 7 September 2026 (Monday).
Underwriting of the Additional Competitive Underwriting (ACU) portion can be submitted by Primary Dealers between 09:00 a.m. and 09:30 a.m. on the auction day. The securities will be eligible for "When Issued" trading from 1 September 2026 to 4 September 2026. Minimum bid size is ₹10,000 (nominal) and thereafter in multiples of ₹10,000. Up to 5% of the notified amount for each security will be allocated to eligible individuals and institutions under the non‑competitive bidding scheme, with retail investors able to bid via the Retail Direct portal.
Regulatory and Policy Measures
The auction follows the specific notification F.No.4(1)-B(W&M)/2026 dated 31 August 2026 and the General Notification F.No.4(2)‑B(W&M)/2018 dated 26 March 2025. The securities are eligible for repurchase (repo) transactions as per the Master Direction on Repurchase Transactions (2025) and for "When Issued" trading per RBI circular No. RBI/2018‑19/25 dated 24 July 2018. Investments by non‑residents are permitted under the Fully Accessible Route guidelines. Underwriting will be governed by the Revised Scheme of Underwriting Commitment and Liquidity Support (circular RBI/2007‑08/186, dated 14 Nov 2007, as amended).
Business Continuity Plan (IT Failure)
In case of system failure, physical bids may be submitted to the Public Debt Office, Mumbai, via prescribed forms obtainable from the RBI website, before the auction deadline. Technical issues should be reported to the Core Banking Operations Team (email cbot@rbi.org.in, phones 022‑69870466/15). Other auction‑related difficulties can be directed to the IDMD auction team (email auctionidmd@rbi.org.in, phones 022‑22702431/25).
Multiple Bids and Decision Process
Investors may submit more than one competitive bid, provided the aggregate does not exceed the notified amount. The RBI will determine the minimum price/maximum yield and will reject bids outside this range. The RBI retains full discretion to accept or reject any bids, wholly or partially, without assigning reasons. Successful bidders will receive securities credited to their Subsidiary General Ledger Account (SGL) or Constituents' SGL (CSGL) maintained with the RBI. Interest on the securities will generally be paid half‑yearly, with exact coupon dates specified in the specific notification.
Overall, the auction outlines detailed procedural, technical, and regulatory frameworks for the issuance of ₹32,000 crore of dated government securities, providing avenues for competitive, non‑competitive, and underwriting participation, while ensuring eligibility for repo, non‑resident investment, and when‑issued trading.