State governments raised an aggregate Rs 13,000 crore at the latest yield- and price-based auction of State Government Securities held on January 20, with the entire notified amount accepted across all participating states, data released by the Reserve Bank of India showed.
Assam raised Rs 1,000 crore through a 20-year bond at a cut-off yield of 7.62%, while Jammu and Kashmir mobilised Rs 500 crore via a 15-year security at the same yield.
Karnataka emerged as the largest borrower, raising Rs 6,000 crore across three tranches. This included a re-issue of the 7.25% Karnataka SGS 2032 at a cut-off price of 100.21, implying a yield of 7.2084%, a 7.5-year paper at 7.32%, and an 11.5-year paper at 7.54%.
Odisha raised Rs 1,000 crore through two tranches, issuing Rs 500 crore each via 10-year and 20-year securities at yields of 7.49% and 7.59%, respectively.
Tamil Nadu mobilised Rs 4,000 crore across three maturities, issuing Rs 1,000 crore each through 6-year and 7-year bonds at yields of 7.21% and 7.31%, and Rs 2,000 crore via a 30-year security at 7.58%.
Uttarakhand raised Rs 500 crore through a 9-year bond at a cut-off yield of 7.51%.
The full acceptance of notified amounts across all states and maturities indicates steady investor demand for state government paper.