Multiple states to borrow Rs 16,900 crore through RBI SGS auction on April 21

New Delhi [India], April 19 : The Reserve Bank of India (RBI) has announced that multiple state governments will raise a total of Rs 16,900 crore through the revised auction of State Government Securities (SGS), scheduled to be conducted on April 21.

According to the Central Bank release, the securities will be issued through an auction conducted on the RBI's Core Banking Solution platform, E-Kuber. The auction will include borrowings by several states, with varying tenors and structures, including both fresh issuances and re-issues of existing securities.

Among the participating states, Andhra Pradesh plans to raise Rs 4,600 crore through three securities with tenors of 8, 16 and 30 years. Punjab will borrow Rs 1,300 crore with a 12-year tenor, while Maharashtra will raise Rs 4,000 crore through three securities with tenors of 8, 18 and 28 years, respectively.

Rajasthan will issue three securities worth Rs 4,000 crore through a mix of fresh securities and re-issues. These include re-issuance of 7.99 per cent Rajasthan SGS 2041, issued on March 30, 2026. Meanwhile, Telangana will borrow Rs 3,000 crore through three securities worth Rs 1,000 each with a tenor of 7 years, 11 years and 21 years each.

"Both competitive and non-competitive bids for the auction should be submitted in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system on April 21, 2026 (Tuesday)," the release said.

The Government Stock up to ten per cent of the notified amount of the sale of each stock will be allotted to eligible individuals and institutions, subject to a maximum limit of one per cent of its notified amount for a single bid per stock as per the 'Scheme for Non-competitive Bidding Facility'.

Individual investors can also place bids as per the non-competitive scheme through the Retail Direct portal.

The results of the auction will be announced on April 21, 2026 (Tuesday) and payment by successful bidders will be made during banking hours on April 22, 2026 (Wednesday) at Mumbai and at respective Regional Offices of RBI.

"The new State Government Stocks will bear interest at the rates determined by RBI at the auctions. For the new stock, interest will be paid half yearly on October 22 and April 22 of each year till maturity. For the re-issued Government Stock, interest will be paid at the rate as determined on the date of original issue of Government Stock and will be paid on half yearly basis till maturity," the release added.

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