RBI Launches Mega Auction: ₹34,000 Cr Dated Security Up For Grabs by Investors
The Reserve Bank of India (RBI) has announced a significant auction for Government of India (GoI) dated securities. The offering targets institutional and retail investors, providing an opportunity to invest in the stable bond market. A total notified amount of ₹34,000 crore worth of security is slated for sale during the upcoming auction period.This offering includes the 6.94% GS 2036 security. This dated instrument carries a fixed repayment date set for May 11, 2036. The RBI has also indicated that it holds the option to retain additional subscription amounting up to ₹2,000 crore against this particular security.
Auction Timeline and Bidding Procedure
The sale of these securities will be conducted through the RBI Mumbai Office, Fort. The crucial auction date is set for July 31, 2026 (Friday). Successful bidders are required to settle their payments on August 03, 2026 (Monday).Bids for both competitive and non-competitive segments must be submitted electronically via the Reserve Bank of India Core Banking Solution, or eKuber system. The RBI has structured a multi-price auction format for this sale.
For maximum clarity, the deadline for non-competitive bids is set between 10:30 a.m. and 11:00 a.m. The window for competitive bids extends until 11:30 a.m. on July 31, 2026.
Operational Guidelines and Market Eligibility
The securities are eligible for 'When Issued' trading, with the period commencing from July 28, 2026 to July 31, 2026. This provision allows early market access post-announcement.The minimum bid size for these securities is established at ₹10,000 (nominal) and subsequent multiples of ₹10,000. Bids placed by investors must adhere to the terms set out in the Specific Notification dated July 27, 2026.
A dedicated Non-Competitive Segment is available, where up to 5% of the notified amount will be allotted to eligible individuals and institutions. Retail investors can participate through the retail direct portal provided by RBI.
Professional Market Mechanics and Underwriting
The auction structure mandates that the allotment under the non-competitive segment will be determined by the weighted average rate of yield or price from the successful competitive bids. This mechanism ensures market efficiency in allotment.Primary Dealers (PDs) have a specific window to submit bids for Additional Competitive Underwriting (ACU). This submission must occur between 09:00 a.m. and 09:30 a.m. on July 31, 2026.
The RBI emphasizes that the underwriting of these Government Securities will follow the Revised Scheme of Underwriting Commitment and Liquidity Support guidelines. Furthermore, these securities are eligible for Repurchase Transactions (Repo) according to current Master Directions issued by the central bank.
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