Document title: Auction of Government of India Dated Securities
Issuing authority: Reserve Bank of India
Reference number: Press Release 2026-2027/1252
Date: 05 October 2026
Capital Markets and Flows
The Government of India announced the re‑issue of two dated securities: a 7.06 % Government Security maturing on 27 July 2041 with a notified amount of ₹23,000 crore, and a 7.43 % Government Security maturing on 19 January 2076 with a notified amount of ₹13,000 crore, bringing the total notified amount to ₹36,000 crore. The Government may retain an additional subscription of up to ₹2,000 crore against each security. The auction will be conducted through the RBI Mumbai Office using a multiple‑price method. Bids must be submitted electronically on the RBI Core Banking Solution (e‑Kuber) on 09 October 2026; 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. The result will be announced on the same day and settlement is scheduled for 12 October 2026 (Monday). Primary dealers may submit bids for the Additional Competitive Under‑writing (ACU) portion between 09:00 a.m. and 09:30 a.m. on the auction day. The securities will be eligible for “When Issued” trading from 06 October 2026 to 09 October 2026. The 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 allotted to eligible individuals and institutions under the non‑competitive bidding facility, with bids placed through the Retail Direct portal. Each bank or primary dealer will submit a single consolidated non‑competitive bid on behalf of its constituents. Allocation under the non‑competitive segment will be at the weighted‑average yield/price of the successful competitive bids.
Regulatory and Policy Measures
The auction is yield‑based for new securities and price‑based for re‑issued securities; floating‑rate bonds would be spread‑based for new issues. Physical bids are not accepted except in extraordinary circumstances, with a Business Continuity Plan that allows physical submission to the Public Debt Office, Mumbai, via prescribed forms and contact details. In case of technical failures, the Core Banking Operations Team and the IDMD auction team can be contacted through the provided email addresses and phone numbers. Investors may submit multiple competitive bids, provided the aggregate does not exceed the notified amount. The RBI retains full discretion to accept or reject any bids, wholly or partially, without assigning a reason. Successful bids will result in securities being credited to the Subsidiary General Ledger (SGL) or Constituents’ SGL accounts maintained with the RBI. Interest on the securities will generally be paid half‑yearly, unless a non‑standard maturity specifies otherwise. Underwriting will follow the Revised Scheme of Underwriting Commitment and Liquidity Support (circular RBI/2007‑08/186). The securities will be eligible for repurchase (repo) transactions as per the Master Direction on Repurchase Transactions (2025) and for “When Issued” trading in line with RBI circular No. RBI/2018‑19/25 dated 24 July 2018. Investments by non‑residents are subject to the Fully Accessible Route guidelines.
The auction outlines a comprehensive procedural and regulatory framework for the ₹36,000 crore government securities issuance, detailing timelines, bidding mechanisms, eligibility criteria, and post‑issuance handling, thereby ensuring market transparency and operational readiness.