State governments of Bihar, Assam, and Chhattisgarh collectively raised ₹4,600 crore via yield-based auction of securities on October 27, 2026, with Bihar’s re-issued 2041 bond fetching a yield of 8.2811%.
State Government Securities Auction Outcome
On October 27, 2026, the Reserve Bank of India conducted a yield/price-based auction for state government securities, enabling Assam, Bihar, and Chhattisgarh to raise funds totaling ₹4,600 crore. The auction included fresh issues and re-issues of existing bonds.
Assam raised ₹606.733 crore (cut-off yield: 8.15%) against a notified amount of ₹1,000 crore for its 9-year SGS 2035. Bihar fully accepted its ₹1,000 crore 9-year bond at 8.18% and its ₹2,000 crore re-issue of 7.66% SGS 2041 at a cut-off price of ₹94.75, implying a yield of 8.2811%. Chhattisgarh raised ₹600 crore through its SGS 2040.
The partial subscription for Assam indicates diverging investor confidence across state credits. The auction results reflect continued reliance on market borrowing amid fiscal pressures. For legal practitioners, these yields are essential for advising on state-level project financing, public-private partnerships, and assessing credit risk in government-backed instruments.
