RBI to Auction State Government Securities Worth ₹21,600 Crore

The Reserve Bank of India (RBI) has announced an auction of State Government Securities (SGS) worth ₹21,600 crore, scheduled for June 16, 2026. The auction will be conducted via the RBI's Core Banking Solution (E-Kuber) system, with both competitive and non-competitive bids invited.

Nine states, including Andhra Pradesh, Maharashtra, and Rajasthan, will participate in this auction. The securities include new issuances and re-issues with tenors ranging from 6 to 30 years. Notably, Andhra Pradesh and Maharashtra are offering the highest individual amounts, with multiple re-issues of previously issued bonds.

The RBI has clarified that up to 10% of the notified amount will be reserved for eligible individuals and institutions under the non-competitive bidding scheme. Retail investors can also participate through the RBI Retail Direct portal. The minimum bid amount is ₹10,000, and bids must be submitted electronically within specified time slots.

The results of the auction will be announced on June 16, with successful bidders required to make payments by June 17. The issued securities will qualify as eligible investments for banks under the Statutory Liquidity Ratio (SLR) and will also be eligible for the ready forward facility.

This auction is part of the RBI's routine management of state borrowings, providing states with funds for developmental and financial needs while offering investors a secure investment avenue.

Source: Reserve Bank of India press release, Fri, 12 Jun 2026 19:55:00. http://www.rbi.org.in/scripts/BS_PressReleaseDisplay.aspx?prid=62928