Document title: Result of Yield/Price Based Auction of State Government Securities
Issuing authority: Reserve Bank of India
Reference number: Press Release: 2026-2027/1012
Date: September 01, 2026
Capital Markets and Flows
The Reserve Bank of India released the outcome of its yield/price based auction of state government securities conducted on 1 September 2026. A total of ₹27,000 crore was targeted for raise across 15 states, and ₹26,590.030 crore was actually accepted, representing a near‑full subscription.
The auction covered a range of tenors from 12 to 30 years. Cut‑off prices varied between 97.98 and 100.22, translating into yields from 7.3203 % to 7.8302 %. Specific highlights include: Assam’s full ₹1,000 cr issue at 98.61/7.7585 %; Bihar’s full ₹800 cr issue at 98.53/7.6494 %; Chhattisgarh’s ₹500 cr issue fully subscribed at 98.46/7.6403 % and a second tranche of ₹500 cr where only ₹390.030 cr was accepted at 98.47/7.8082 %; Himachal Pradesh’s full ₹700 cr issue at 98.35/7.7633 %; Jharkhand’s two tenors (12 yr and 16 yr) each fully subscribed at a cut‑off price of 7.72 %; Kerala’s two issues (₹800 cr and ₹1,000 cr) at 99.25/7.4391 % and 98.46/7.7495 % respectively; Madhya Pradesh’s full ₹1,600 cr issue at 98.18/7.7990 % and a 30‑year tranche of ₹2,000 cr at a cut‑off price of 7.75 %; Manipur’s ₹100 cr issue at 98.73/7.7897 %; Odisha’s two issues (₹1,000 cr each) at 99.22/7.1692 % and 98.82/7.7792 %; Sikkim’s ₹200 cr issue at 97.98/7.8302 %; Tamil Nadu’s two issues (₹1,000 cr and ₹2,000 cr) at 99.15/7.6123 % and 99.25/7.7044 %; Telangana’s four tranches totalling ₹2,500 cr with cut‑off prices ranging from 98.33/7.7356 % to 99.05/7.7378 %; Uttar Pradesh’s two tranches (₹500 cr each) at 98.49/7.7555 % and 98.49/7.7555 %; Uttarakhand’s ₹1,000 cr issue at 100.22/7.7690 % was fully subscribed, while its ₹300 cr tranche of 7.64 % SGS 2038 received no acceptance; West Bengal’s three tranches (₹1,000 cr, ₹1,500 cr, ₹2,200 cr) were fully subscribed at cut‑off prices of 98.98/7.3203 %, 98.46/7.7997 % and 98.77/7.7596 % respectively.
Chhattisgarh’s re‑issue of the 7.64 % SGS 2042 saw only partial acceptance of ₹390.030 crore, and Uttarakhand’s re‑issue of the 7.64 % SGS 2038 received no bids.
The RBI’s communication, signed by Deputy General Manager (Communications) Ajit Prasad, underscores the strong demand for state securities and provides benchmark yields for the fiscal year 2026‑27.
Overall, the auction demonstrates robust investor appetite for state‑issued debt, with yields clustered around the high‑6 to low‑7 percent range, supporting the government’s financing plans.