Auction for sale of floating-rate bonds

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New Delhi: The Union government has announced the sale (issue/re-issue) of “Government of India Floating Rate Bonds 2024” for a notified amount of  Rs 3,000 crore (nominal) through a price-based auction, “New 10 Year Government Stock” for a notified amount of Rs 8,000 crore (nominal) through yield-based auction, “7.73% Government Stock 2034” for a notified amount of Rs 2,000 crore (nominal) through a price-based auction and “7.06% Government Stock, 2046” for a notified amount of  Rs 2,000 crore (nominal) through a price-based auction. The auctions will be conducted using a multiple-price method. The auctions will be conducted by the Reserve Bank of India (RBI), Mumbai office, Fort, Mumbai, on 12 May (Friday).

Up to 5% of the notified amount of the sale of the stocks 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 the electronic format on the RBI core banking solution (e-Kuber) system on 12 May. The non-competitive bids should be submitted between 10:30 AM and 11:30 AM and the competitive bids should be submitted between 10.30 AM and 12.00 noon.

The result of the auctions will be announced on that very day and payment by successful bidders will be on 15 May (Monday).

The stocks will be eligible for “when issued” trading in accordance with the guidelines on ‘when-issued transactions in central government securities’ issued by the RBI vide circular No. RBI/2006-07/178 dated 16 November 2006 as amended from time to time.

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