RBI to auction ₹32,000 Cr govt bonds Aug 1

Mumbai

The Government of India will auction two long-term dated securities worth ₹32,000 crore on August 1, 2025, through the Reserve Bank of India (RBI), as part of its strategy to manage market borrowings. The auction includes a re-issue of two bonds: one carrying a 6.68% interest maturing in 2040, and the other a 6.90% interest maturing in 2065. Each bond will be offered for ₹16,000 crore.

Additionally, the RBI may accept up to ₹2,000 crore extra for each security, increasing the total size to ₹36,000 crore. The auction will be held at the RBI’s Mumbai office and settled on August 4, 2025.

The sale will use the multiple-price method, where competitive bids can be submitted between 10:30 a.m. and 11:30 a.m., and non-competitive bids from 10:30 a.m. to 11:00 a.m. through the e-Kuber platform. Auction results will be published on the same day.

To encourage wider participation, especially from retail investors and smaller institutions, 5% of the notified amount is reserved for non-competitive bidding. These participants can use the RBI Retail Direct platform to place bids. While investors may submit multiple bids, the total amount should not exceed the notified sum.

The minimum bid value is ₹10,000 and in multiples thereafter. RBI holds the right to accept or reject any bid. Successful bidders will get the bonds credited to their Subsidiary General Ledger (SGL) or Constituents' SGL (CSGL) accounts.

These securities are eligible for repurchase agreements (repo transactions) and foreign investment under the Fully Accessible Route. Interest will be paid every six months.

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