On October 27, 2026, the Reserve Bank of India conducted auctions for State Government Securities, issuing bonds for Assam, Bihar, and Chhattisgarh with tenors up to 17 years. Total notified amount was ₹4,600 crore, with full subscriptions achieved for Bihar and partial allocation for Assam.
RBI Conducts State Government Securities Auction
On October 27, 2026, the Reserve Bank of India (RBI) held a yield/price-based auction of State Government Securities (SGS) on behalf of Assam, Bihar, and Chhattisgarh. The total notified amount stood at ₹4,600 crore, comprising ₹1,000 crore each for nine-year Assam SGS 2035* and Bihar SGS 2035, ₹2,000 crore for Bihar SGS 2041 (re-issue), and ₹600 crore for Chhattisgarh SGS 2040.
The auction results indicate full subscription for Bihar’s offerings and partial allocation for Assam. Assam’s 9-year bond received bids for ₹606.733 crore at a cut-off yield of 8.15%, while Bihar’s 9-year security was fully subscribed at 8.18%. The re-issue of Bihar’s 7.66% SGS 2041 also saw full acceptance at a yield of 8.2811%. Chhattisgarh’s 17-year bond details were announced in a separate release.
These auctions form part of continued fiscal market activity by state governments under RBI’s auction framework. The results reflect investor appetite for longer-term state debt, especially in relatively lower-risk jurisdictions. Legal practitioners advising on public finance or institutional investment should monitor state-specific creditworthiness and auction compliance under the Government Securities Act, 2006.
Citations
- Government Securities Act, 2006
