13 states and UTs to borrow ₹25,100 crore at Oct 6 auction
On October 6, thirteen states and Union Territories, including Maharashtra, Madhya Pradesh and Karnataka, will sell state bonds worth ₹25,100 crore.
Official title: Auction of State Government Securities · Press Release 2026-2027/1238
What happened
Thirteen states and Union Territories have offered state bonds worth ₹25,100 crore at an auction on Tuesday, October 6, 2026. They are Andhra Pradesh, Delhi, Goa, Himachal Pradesh, Jammu and Kashmir, Karnataka, Madhya Pradesh, Maharashtra, Meghalaya, Punjab, Rajasthan, Telangana and West Bengal.
Maharashtra seeks the most, ₹7,200 crore across four bonds. Karnataka wants ₹2,000 crore for 8 years. Telangana wants ₹2,500 crore across 20 and 26 years. Some bonds are new, while others are re-issues of existing ones. Bids are made electronically between 10:30 and 11:30 a.m. Up to 10% of each bond is set aside for small investors who do not name a price, with each bid capped at 1% of the amount.
What it means for you
If you want to lend to the government yourself, individuals can bid in these auctions through the RBI Retail Direct portal.
What it means for businesses
Banks, insurers and funds are the usual buyers. The results will show what rate each state pays, which companies and banks watch as a benchmark.
Links in this release, explained
- Scheme for Non-competitive Bidding Facility (state government securities)
RBI scheme that lets small investors apply in state bond auctions without naming a price. They get the bond at the average rate that big bidders settle on. Open it for the eligibility and limits.
www.rbi.org.in/Scripts/NotificationUser.aspx?Id=11725&Mode=0 - RBI Retail Direct portal
RBI's free online platform where individuals can open an account and buy government bonds and Treasury bills directly, without a broker. A simple way for ordinary savers to take part in these auctions.
rbiretaildirect.org.in - RBI forms page
A list of RBI forms. It is where the paper bid form can be downloaded. Paper bids are accepted only if the electronic system fails, so most readers can ignore it.
www.rbi.org.in/Scripts/BS_ViewForms.aspx
Read the original
Press release on rbi.org.in ↗ Official PDF ↗
This explainer simplifies the official text. If anything here differs from the RBI's release, the release is right.