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Debt Market News

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(03 Nov 2025, 15:29)

Govt bond auction sees strong demand


The latest government securities (G-Sec) auction on 31 October 2026 drew robust investor participation, with bids far exceeding the notified amounts across maturities.

The Reserve Bank of India (RBI) conducted the auction for four government securities — 5.91% GS 2028, 6.28% GS 2032, 7.24% GS 2055, and 6.98% GOI Sovereign Green Bond 2054 (SGrB) — with a total notified amount of Rs 32,000 crore.

The 5.91% GS 2028 received the highest interest, attracting bids worth Rs 30,570 crore against Rs 9,000 crore on offer. The cut-off price stood at 100.16, translating to a yield of 5.84%, while the weighted average yield (WAY) was slightly lower at 5.82%.

No bids were accepted for the 6.28% GS 2032, indicating muted demand for this tenor.

For the 7.24% GS 2055, the government accepted bids worth Rs 6,982 crore against the notified Rs 7,000 crore. The cut-off yield was set at 7.24%, with a weighted average yield of 7.23%.

The 6.98% Sovereign Green Bond 2054 also saw healthy participation, garnering bids worth Rs 14,215 crore against Rs 5,000 crore on offer. The paper was allotted at a cut-off yield of 7.19%, with a weighted average yield of 7.18%.

Non-competitive bids were modest, totaling Rs 29.6 crore across the four securities, with full allotment except in the 6.28% GS 2032 series, where no bids were accepted.

There was no devolvement on primary dealers, indicating that the entire issue was smoothly absorbed by market participants.


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