RBI to auction state government securities worth Rs 11,298 cr; know full details here!

The Reserve Bank of India (RBI) will conduct an auction to sell government securities being offered by various state governments. The combined value of all the securities is Rs 11,298 cr (Face Value), an RBI release said.      

The auction will be conducted on the E-Kuber system on September 22 (Tuesday), the release said. The Government Stock up to 10 per cent of the notified amount of the sale of each stock will be allotted to eligible individuals and institutions. This will be subject to a maximum limit of 1 per cent of its notified amount for a single bid per stock as per the Scheme for Non-competitive Bidding Facility, the release said. 

Both competitive and non-competitive bids for the auction should be submitted in electronic format on the E-Kuber system. 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 am and 11.30 am, the release said. 

See important details here: 

RBI will be auctioning securities being offered by 10 states viz Assam, Bihar, Goa, Gujarat, Karnataka, Maharashtra, Punjab, Rajasthan, Sikkim and Tamil Nadu.  

Securities will be issued for a minimum nominal amount of Rs 10,000 and multiples of Rs 10,000 thereafter. The RBI will determine the maximum yield /minimum price at which bids will be accepted.  

The results of the auction will be announced on the same day and payment by successful bidders will be made during banking hours on 23 September 23 at Mumbai and at respective regional offices of RBI. 

The State Government Stocks will bear interest at the rates determined by RBI at the auctions. For the new securities, interest will be paid half yearly on 23 March and 23 September of each year till maturity.  

The yield percent per annum expected by the bidder should be expressed up to two decimal points.  

An investor can submit more than one competitive bid at same/different rates of yield or prices in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system. However, the aggregate amount of bids submitted by a bidder should not exceed the notified amount for each State. 

What to do on facing difficulties 

Bidders can contact the Core Banking Operations Team via email or phone in case of technical difficulties. Calls can be made on following numbers - 022-27595666, 022-27595415, 022-27523516. 
For other auction related difficulties, IDMD auction team can be contacted via email or phone at 022-22702431, 022-22705125. 
Physical bids will be accepted only in the event of system failure. Such physical bids should be submitted to the Public Debt Office via email; Phone no: 022-22632527, 022-22701299).