Government to auction securities tomorrow: Here's when and where to bid

Government securities auction: The Government of India has decided to sell (re-issue) of government securities: “7.38% Government Security 2027”, “7.26% Government Security 2032” and “7.36% Government Security 2052” through an auction on Friday.

“Government of India (GoI) has announced the sale (re-issue) of (i) “7.38% Government Security 2027” for a notified amount of ₹7,000 crore (nominal) through price based auction using uniform price method, (ii) “7.26% Government Security 2032” for a notified amount of ₹12,000 crore (nominal) through price based auction using uniform price method and (iii) “7.36% Government Security 2052” for a notified amount of ₹9,000 crore (nominal) through price based auction using multiple price method,” the notification read. 

Government has kept the option open to retain additional subscriptions up to Rs. 2,000 crore against each security. 

The auction will be held tomorrow i.e on October 7, 2022 by the Reserve Bank of India (RBI) at the Mumbai Office in Fort. Competitive and Non-competitive bidders have to submit bids for the auction in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system on October 07, 2022. 

The non-competitive bids submission should be done in between 10.30 a.m. to 11.00 a.m. and the competitive bids submission should be done in between 10.30 a.m. to 11.30 a.m.

As per the Scheme for Non-Competitive Bidding Facility in the Auction of Government Securities, up to 5% of the notified amount of the sale of the securities will be allotted to eligible individuals and institutions. 

“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,” the notification read. 

The result of the auctions will be announced on October 07, 2022 and payment by successful bidders will be on October 10, 2022.