The Government of India (GoI) has announced the Sale (Re-issue) of (i) ‘4.48% Government Security, 2023’ for a notified amount of Rs 4,000 crore (nominal) through price based auction, (ii) ‘GoI Floating Rate Bonds, 2033’ for a notified amount of
Rs 4,000 crore (nominal) through price based auction, (iii) ‘6.22% Government Security, 2035’ for a notified amount of Rs 11,000 crore (nominal) through price based auction, and (iv) ‘6.67% Government Security, 2050’ for a notified amount of Rs 5,000 crore (nominal) through price based auction. GoI will have the option to retain additional subscription up to Rs 2,000 crore against each of the above securities. The auctions will be conducted by the Reserve Bank of India, Mumbai Office, Fort, Mumbai on February 26, 2021 (Friday). The auction will be conducted using uniform price method for 6.22% GS 2035 and multiple price method for 4.48% GS 2023, GoI FRB 2033 and 6.67% GS 2050.
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.
Both competitive and non-competitive bids for the auction should be submitted in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system on February 26, 2021. 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 a.m. and 11.30 a.m.
The result of the auctions will be announced on February 26, 2021 (Friday) and payment by successful bidders will be on March 01, 2021 (Monday).
The Securities will be eligible for “When Issued” trading in accordance with the guidelines on ‘When Issued transactions in Central Government Securities’ issued by the Reserve Bank of India vide circular No. RBI/2018-19/25 dated July 24, 2018 as amended from time to time.