Document title: Auction of State Government Securities
Issuing authority: Reserve Bank of India
Date: June 19, 2026
Policy Rates and Liquidity
The Reserve Bank of India announced an auction of State Government Securities with a total face value of ₹16,900 crore. The auction will be conducted on the RBI Core Banking Solution (E‑Kuber) system on June 23, 2026 (Tuesday). Competitive bids are to be submitted between 10:30 A.M. and 11:30 A.M., while non‑competitive bids must be entered between 10:30 A.M. and 11:00 A.M. The RBI will determine the maximum yield or minimum price at which bids will be accepted, and the results will be announced on the same day with payment to successful bidders scheduled for June 24, 2026 (Wednesday).
Capital Markets and Flows
The auction comprises both re‑issued and new securities from several states. Re‑issues include Bihar (₹1,200 crore each of 7.69% SGS 2035 and 7.84% SGS 2041), Chhattisgarh (₹500 crore each of 7.68% SGS 2036 and 7.82% SGS 2048), Kerala (₹1,800 crore of 7.83% SGS 2049), Madhya Pradesh (₹1,600 crore of 7.64% SGS 2034 and ₹1,200 crore of 7.83% SGS 2048), Tamil Nadu (₹1,000 crore each of 7.69% SGS 2033, 7.74% SGS 2036 and 7.80% SGS 2041), and Uttar Pradesh (₹700 crore of 7.72% SGS 2036). New issues are from Delhi (₹1,000 crore with a 10‑year tenor and ₹500 crore with a 15‑year tenor, both with greenshoe options of ₹200 crore and ₹100 crore respectively), Gujarat (₹1,000 crore each with tenors 9 and 13 years and greenshoe options of ₹500 crore each), Himachal Pradesh (₹300 crore with a 18‑year tenor and ₹400 crore with a 23‑year tenor), and Uttar Pradesh (₹1,000 crore with a 15‑year tenor). Auction types are price‑based for re‑issues and yield‑based for new issues. The minimum lot size is ₹10,000 and bids must be in multiples of ₹10,000.
Banking and Credit
The newly issued State Government Stocks will be recognised as eligible investments in Government Securities for banks’ Statutory Liquidity Ratio (SLR) under Section 24 of the Banking Regulation Act, 1949. These securities will also qualify for the ready‑forward facility, enhancing liquidity management for participating banks. Interest on new stocks will be paid semi‑annually on December 24 and June 24 of each year until maturity, while re‑issued stocks will continue to pay interest at the rate fixed at their original issue dates on a half‑yearly basis.
Regulatory and Policy Measures
Bids must be submitted electronically on the E‑Kuber platform; in case of technical failures, the Core Banking Operations Team can be contacted via email (cbot@rbi.org.in) or phone (022‑69870466, 022‑69870415). For auction‑related issues, the IDMD Auction Team is reachable at auctionidmd@rbi.org.in or 022‑22702431/022‑22705125. If the electronic system fails completely, physical bids may be submitted to the Public Debt Office using the prescribed form available on the RBI website, with contact numbers 022‑22603456, 022‑22603457, and 022‑22603190. Bidders may submit multiple competitive bids at different yields or prices, but the aggregate amount per bidder cannot exceed the notified amount for each State.
The auction framework underscores RBI’s role in managing government borrowing, providing a transparent mechanism for both competitive and non‑competitive participants, and ensuring that the proceeds support state financing while maintaining liquidity in the debt market.