The Government of India has announced the Sale (re-issue) of (i) “Government of India Floating Rate Bonds 2024” for a notified amount of ₹ 3000 crore (nominal) through price based auction, (ii) “7.17 per cent Government Stock, 2028” for a notified amount of ₹ 8,000 crore (nominal) through price based auction. Subject to the limit ofRs. 11,000 crore, being total notified amount, the Government of India will have the option to retain additional subscription up to ₹ 1,000 crore each against any one or more of the above securities. The auctions will be conductedusing multiple price method. The auctions will be conducted by the Reserve Bank of India (RBI), Mumbai Office, Fort, Mumbai on January 25, 2018 (Thursday).

Up to 5% of the notified amount of the sale of the stocks will be allotted to eligible individuals and Institutions as per the Scheme for Non-Competitive Bidding Facility in the Auction of Government Securities.

Both competitive and non-competitive bids for the auction should be submitted in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system on January 25, 2018. The non-competitive bids should be submitted between 10.30 a.m. and 11.30 a.m. and the competitive bids should be submitted between 10.30 a.m. and 12.00 noon.   

The result of the auctions will be announced on January 25, 2018 (Thursday) and payment by successful bidders will be on January 29, 2018 (Monday).   

The Stocks will be eligible for “When Issued” trading in accordance with the guidelines on ‘When Issued transactions in Central Government Securities’ issued by the Reserve Bank of India (RBI) vide circular No. RBI/2006-07/178 dated November 16, 2006 as amended from time to time.

Government bond auction using multiple price method with non-competitive facility and when-issued trading eligibility. Re-issue of two Central Government securities will be offered by price-based auction using the multiple price method; a portion is reserved for eligible individuals and institutions under a Non-Competitive Bidding Facility. Bids must be submitted electronically on the central bank's core banking auction system within prescribed time windows for non-competitive and competitive bids. The central bank's Mumbai office will administer the auction on the notified date, with announced result and scheduled payment date. The securities will be eligible for When Issued trading under existing central bank guidelines.