The Government of India (GoI) has announced the Sale (Re-issue) of (i) ‘5.15% Government Security, 2025’ for a notified amount of Rs 11,000 crore (nominal), and  (ii) ‘5.85% Government Security, 2030’ for a notified amount of Rs 11,000 crore (nominal), both 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 February 11, 2021 (Thursday) using multiple price method.

Up to 5% of the notified amount of the sale of the Securities 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 February 11, 2021. The non-competitive bids should be submitted between10.30 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 February 11, 2021 (Thursday) and payment by successful bidders will be on February 12, 2021 (Friday).

The Securities 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 Security Auction: re-issue of two dated securities via price-based multiple-price auction with non-competitive facility. The Government announced re-issue auctions of two dated Government Securities via the Reserve Bank of India using the multiple price method, with an option to retain additional subscriptions. Up to five percent of each notified amount is reserved for eligible bidders under the Non-Competitive Bidding Facility. Bids must be submitted electronically on the RBI E-Kuber system within prescribed windows, results will be declared on auction day, settlement will follow on the scheduled payment date, and the securities are eligible for When Issued trading under RBI guidelines.