The Government of India has announced the Sale (Re-issue) of (i) ‘5.22 percent Government Stock, 2025’ for a notified amount of Rs 8,000 crore (nominal) through price based auction, (ii) ‘6.19 percent Government Stock, 2034’ for a notified amount of Rs 12,000 crore (nominal) through price based auction, and (iii) ‘7.16 per cent Government Stock, 2050’ for a notified amount of Rs 8,000 crore (nominal) through price based auction. GoI will have the option to retain additional subscription up to Rs 2,000 crore against each of the above securities. The auctions will be conducted by the Reserve Bank of India, Mumbai Office, Fort, Mumbai on October 16, 2020 (Friday) using multiple price method.

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 October 16, 2020. The non-competitive bids should be submitted between 10.30 a.m. and 11.00 a.m. and the competitive bids should be submitted between 10.30 a.m. and 11.30 a.m.   

The result of the auctions will be announced on October 16 (Friday) and payment by successful bidders will be on October 19 (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 vide circular No. RBI/2018-19/25 dated July 24, 2018 as amended from time to time.

Government securities re-issue auction through price-based bidding: allotment rules, non-competitive facility and E-Kuber timelines. Announcement of re-issues of three Central Government securities via price-based auctions, with notified amounts and a government option to retain additional subscription for each security. Auctions use the multiple price method, conducted by the Reserve Bank of India, with competitive and non-competitive bids to be submitted electronically through E-Kuber within prescribed time windows. Up to a designated portion of each notified amount is reserved for eligible individuals and institutions under the Non-Competitive Bidding Facility. Results, payment dates, and eligibility for 'When Issued' trading are specified.