What changed
This is a routine auction notification for State Government Securities (SGS) covering nine states/UTs. The aggregate notified amount is ₹16,900 crore, with some states offering additional greenshoe options. Auction types include yield-based and price-based (re-issue) formats.
What it means for you
Banks and primary dealers can participate in this auction to manage their SLR portfolios and earn yields on state government paper. The mix of re-issues and new issuances provides liquidity and pricing benchmarks for state-level debt. Non-competitive bidding via Retail Direct allows retail investors to participate, broadening the investor base.
What you must do
- Submit competitive bids on E-Kuber between 10:30-11:30 AM on June 23, 2026.
- Ensure non-competitive bids are submitted by 11:00 AM on the same day.
- Prepare payment by June 24, 2026 for successful bids.
- Contact IDMD Auction Team for auction-related issues or Core Banking Operations for technical glitches.
- Review the greenshoe options for Delhi and Gujarat to adjust bid amounts.
Who it affects
Banks and primary dealers, Mutual funds and insurance companies, Retail investors using RBI Retail Direct, State treasuries of Bihar, Chhattisgarh, Delhi, Gujarat, Himachal Pradesh, Kerala, Madhya Pradesh, Tamil Nadu, Uttar Pradesh
What is the minimum bid amount for these state government securities?
The minimum nominal amount for each stock is ₹10,000, and bids must be in multiples of ₹10,000 thereafter.
Can retail investors participate in this auction?
Yes, retail investors can place non-competitive bids through the Retail Direct portal (https://rbiretaildirect.org.in) or via E-Kuber, subject to a maximum allotment of 10% of the notified amount per stock and 1% per single bid.
What happens if there is a system failure on auction day?
In case of system failure, physical bids will be accepted. These must be submitted to the Public Debt Office in the prescribed form before the auction timing ends.