Government of India (GOI) has introduced the sale (re-concern) of three dated securities for a notified quantity of ₹28,000 crore as per the next particulars:
| Sr No | Security | Date of Repayment | Notified Amount (₹ crore) |
GoI particular Notification | Auction Date | Settlement Date |
| 1 | 7.38% GS 2027 | June 20, 2027 | 7,000 | F.No.4(3)-B(W&M)/2022 dated October 03, 2022 | October 07, 2022 (Friday) |
October 10, 2022 (Monday) |
| 2 | 7.26% GS 2032 | Aug 22, 2032 | 12,000 | |||
| 3 | 7.36% GS 2052 | Sep 12, 2052 | 9,000 | |||
| Total | 28,000 |
2. GoI could have the choice to retain extra subscription as much as ₹2,000 crore towards every safety talked about above.
3. The securities will probably be bought by means of Reserve Bank of India Mumbai Office, Fort, Mumbai – 400001. The sale will probably be topic to the phrases and circumstances spelt out within the ‘Specific Notification’ talked about above and the General Notification F.No.4(2)–W&M/2018, dated March 27, 2018.
4. The public sale will probably be performed utilizing uniform worth methodology for 7.38% GS 2027, 7.26% GS 2032 and a number of worth methodology for 7.36% GS 2052. Both aggressive and non-aggressive bids for the public sale needs to be submitted in digital format on the Reserve Bank of India Core Banking Solution (E-Kuber) system on October 07, 2022 (Friday). The non-aggressive bids needs to be submitted between 10.30 a.m. and 11.00 a.m. and the aggressive bids needs to be submitted between 10.30 a.m. and 11.30 a.m. The outcome will probably be introduced on the identical day and fee by profitable bidders must be made on October 10, 2022 (Monday).
5. Bids for underwriting of the Additional Competitive Underwriting (ACU) portion will be submitted by ‘Primary Dealers’ from 09.00 a.m. as much as 09:30 a.m. on October 07, 2022 (Friday) on the Reserve Bank of India Core Banking Solution (E-Kuber) system.
6. The Stocks will probably be eligible for “When Issued” buying and selling for a interval commencing from October 04 – October 07, 2022.
7. Operational pointers for Government of India dated securities public sale and different particulars are given within the Annex.
Rupambara
Director (Communications)
Press Release: 2022-2023/986
ANNEX
Type of Auction
1. For a number of worth-primarily based public sale, profitable bids will get accepted on the respective quoted yield/worth for the safety. For uniform worth-primarily based public sale, bids will get accepted on the minimize off yield/worth accepted within the public sale.
2. The public sale will probably be yield primarily based for brand new safety and worth primarily based for securities that are re-issued.
3. In case of a Floating Rate Bonds (FRB), the public sale will probably be unfold-primarily based for brand new safety and worth primarily based for securities that are reissued. At the time of putting bids for brand new FRB, the unfold needs to be quoted in share phrases.
Minimum Bid Size
4. The Stocks will probably be issued for a minimal quantity of ₹10,000/- (nominal) and in multiples of ₹10,000/- thereafter.
Non-Competitive Segment
5. In all of the auctions, Government Stock as much as 5% of the notified quantity of sale will probably be allotted to the eligible people and establishments beneath the Scheme for Non-competitive Bidding Facility within the Auctions of Government Securities. Individual buyers may also place bids as per the non-aggressive scheme by means of the Retail Direct portal (https://rbiretaildirect.org.in).
6. Each financial institution or Primary Dealer (PD) on the idea of agency orders acquired from their constituents will submit a single consolidated non-aggressive bid on behalf of all its constituents in digital format on the Reserve Bank of India Core Banking Solution (E-Kuber) system.
7. Allotment beneath the non-aggressive section to the financial institution or PD will probably be on the weighted common price of yield/worth of the profitable bids that may emerge within the public sale on the idea of the aggressive bidding.
Submission of Bids
8. Both aggressive and non-aggressive bids for the public sale needs to be submitted in digital format on the Reserve Bank of India Core Banking Solution (E-Kuber) system.
9. Bids in bodily kind won’t be accepted besides in extraordinary circumstances.
Business Continuity Plan (BCP)-IT failure
10. Only within the occasion of system failure, bodily bids will probably be accepted. Such bodily bids needs to be submitted to the Public Debt Office, Mumbai by means of (e mail; Phone no: 022-22632527, 022-22701299) within the prescribed kind which will be obtained from RBI web site (https://www.rbi.org.in/Scripts/BS_ViewForms.aspx) earlier than the public sale timing ends.
11. In case of technical difficulties, Core Banking Operations Team needs to be contacted (e mail; Phone no: 022-27595666, 022-27595415, 022-27523516).
12. For different public sale associated difficulties, IDMD public sale staff will be contacted (e mail; Phone no: 022-22702431, 022-22705125).
Multiple Bids
13. An investor can submit multiple aggressive bid in digital format on the Reserve Bank of India Core Banking Solution (E-Kuber) system.
14. However, the mixture quantity of bids submitted by an individual in an public sale shouldn’t exceed the notified quantity of public sale.
Decision Making Process
15. On the idea of bids acquired, the Reserve Bank will decide the minimal worth as much as which tenders for buy of Government Stock will probably be accepted on the auctions.
16. Bids quoted at charges decrease than the minimal worth decided by the Reserve Bank of India will probably be rejected.
17. Reserve Bank of India could have the complete discretion to just accept or reject all or any bids both wholly or partially with out assigning any motive.
Issue of Securities
18. Issue of securities to the profitable bidders will probably be by credit score to Subsidiary General Ledger Account (SGL) of events sustaining such account with Reserve Bank of India or within the kind of Stock Certificate.
Periodicity of Interest Payment
19. Interest on the Government Stock will typically be paid half-yearly aside from in case of securities with non-commonplace maturities. The actual periodicity of coupon fee is invariably talked about within the particular notification for the problem of safety.
Underwriting of the Government Securities
20. The underwriting of the Government Securities beneath auctions by the ‘Primary Dealers’ will probably be as per the “Revised Scheme of Underwriting Commitment and Liquidity Support” introduced by the Reserve Bank vide round RBI/2007-08/186 dated November 14, 2007 as amended occasionally.
Eligibility for Repurchase Transactions (Repo)
21. The Stocks will probably be eligible for Repurchase Transactions (Repo) as per the circumstances talked about in Repurchase Transactions (Repo) (Reserve Bank) Directions, 2018 (Reserve Bank) Directions, 2018 as amended occasionally.
Eligibility for ‘When Issued’ Trading
22. The Stocks will probably be eligible for “When Issued” buying and selling in accordance with the rules on ‘When Issued transactions in Central Government Securities’ issued by the Reserve Bank of India vide round No. RBI/2018-19/25 dated July 24, 2018 as amended occasionally.
Investment by Non-Residents
23. Investments by Non-Residents are topic to the rules on ‘Fully Accessible Route’ for Investment by Non-residents in Government Securities and Investment by Foreign Portfolio Investors (FPI) in Government Securities: Medium Term Framework (MTF).
