What changed
The government announced a buyback of four specific dated securities with maturities from October 2026 to February 2027. The auction uses a multiple-price method, and there is no pre-set allocation for each security within the ₹30,000 crore aggregate limit. The government retains the right to vary the total accepted amount and to reject any bid without assigning reasons.
What it means for you
Banks holding these securities can offload them before maturity, freeing up capital and reducing duration risk. The multiple-price format means each accepted bidder gets the price they quoted, so aggressive pricing may be needed to ensure acceptance. The government's flexibility on quantum adds uncertainty; bidders should not assume the full ₹30,000 crore will be taken.
What you must do
- Review your holdings of the four specified securities (7.33% GS 2026, 5.74% GS 2026, 8.15% GS 2026, 8.24% GS 2027) and decide participation by June 29, 2026.
- Submit bids on E-Kuber between 10:30 AM and 11:30 AM on June 29, 2026, using the multiple-price method.
- Prepare for settlement on June 30, 2026, and factor in potential partial acceptance or rejection of bids.
Who it affects
Banks holding Government of India dated securities maturing in 2026-2027, Primary dealers, Other institutional investors in government securities
What is the total amount of the buyback?
The aggregate notified amount is ₹30,000 crore (face value), but the government may accept more or less than this amount.
How will the auction be conducted?
The auction uses a multiple-price method, meaning each accepted bidder pays the price they quoted. Bids must be submitted on the E-Kuber system on June 29, 2026.
Which securities are eligible for buyback?
Four securities: 7.33% GS 2026 (maturity Oct 30, 2026), 5.74% GS 2026 (Nov 15, 2026), 8.15% GS 2026 (Nov 24, 2026), and 8.24% GS 2027 (Feb 15, 2027). No individual notified amount is set.