RBI announces buyback of ₹25,000 crore worth G-Securities through auction on THIS date; check details here

The Government of India has announced the buyback of its securities through auction for an aggregate amount of ₹25,000 crore (face value), announced Reserve Bank of India (RBI) on Friday. The G-securities with coupon rate of 7.72 percent will mature on May 25 next year. The securities with coupon rate of 5.22 percent will mature on June 15 next year.

The securities with coupon rate of 8.2 percent will mature in Sept next year and the securities with coupon rate of 5.15 percent will mature on Nov 9 whereas the securities with coupon of 7.59 percent will mature on Jan 11, 2026.

The table below lists out the maturity date of all these securities that will be auctioned on Thursday.
 

In a notification, Reserve Bank of India has announced that the auction will be carried out using multiple price method. The offers for the auction needs to be submitted in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system on Oct 17, 2024 between 10.30 am and 11.30 am. Auction result will be announced on the same day and settlement will take place on Oct 18, reads the notification.

However, it is vital to note that the government reserves the right to decide on the quantum of buyback of individual securities, accept more or less than the notified amount of ₹25,000 crore and accept or reject any or all of the offers, either wholly or partially, without assigning any reason thereof.

Meanwhile, Reserve Bank of India has also announced the auction of Government of India Treasury Bills (T-Bills) as per the following details:

The auction date for the above T-Bill is Oct 16 and the settlement date is Oct 17.

Investors who want to invest in government securities can invest via RBI Retail Direct portal or app. You need to open RBI Retail Direct Account. And once you are registered, you can log in to your account in order to invest in government securities, also known as G-Secs. Read this Livemint article for more details.