The Government of India (GoI) has announced the Sale (re-issue) of (i) ‘4.26% Government Security, 2023’ for a notified amount of ₹ 2,000 crore (nominal) through price based auction using uniform price method (ii) ‘5.63% Government Security, 2026’ for a notified amount of ₹ 6,000 crore (nominal) through price  based auction using uniform price  method (iii) ‘6.67% Government Security, 2035’ for a notified amount of ₹ 9,000 crore (nominal) through price based auction using uniform price method, and (iv) ‘6.67% Government Security, 2050’ for a notified amount of ₹ 7,000 crore (nominal) through price based auction using multiple price method. GoI will have the option to retain additional subscription up to ₹ 2,000 crore each against one or more security/securities.  The auctions will be conducted by the Reserve Bank of India, Mumbai Office, Fort, Mumbai on Friday i.e. October 22, 2021.

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 October 22, 2021. 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 22, 2021 (Friday) and payment by successful bidders will be on October 25, 2021 (Monday).

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.

Auction of government securities: re-issues across maturities using uniform and multiple price methods with non-competitive quota. Re-issue auctions of multiple Central Government securities are conducted by price-based allocation, using uniform price methods for most securities and a multiple price method for a long-dated security; the Government may retain additional subscriptions up to a cap. Bids must be submitted electronically on the designated core banking/electronic bidding platform within prescribed competitive and non-competitive windows. Up to a specified percentage of each notified amount is reserved for eligible individuals and institutions under a non-competitive bidding facility. Auction results and settlement dates are fixed and securities are eligible for 'When Issued' trading under existing guidelines.