The RBI conducted an Additional Competitive Underwriting (ACU) auction on October 1, 2026, setting cut-off rates for underwriting commissions on government securities. Details on specific rates and allocations were withheld in the release.
RBI Conducts Government Securities Underwriting Auction
The Reserve Bank of India held an Additional Competitive Underwriting (ACU) auction on October 1, 2026, to determine the cut-off rate of underwriting commission payable to Primary Dealers for specified government securities. The objective was to enhance market participation and ensure efficient distribution of government debt.
The auction targeted securities with a notified amount and included a Minimum Underwriting Commitment (MUC) component. While the exact commission rates and allocation details were not disclosed in the public release, the RBI confirmed the successful determination of the cut-off rate for the underwriting process.
Such auctions play a critical role in India's government borrowing programme. For legal practitioners advising on public debt or capital markets, monitoring these outcomes is essential to understand investor appetite and pricing trends in the sovereign bond market.
