Centre to borrow ₹36,000 crore via 15-year and 50-year bonds on Oct 9
The government will sell ₹23,000 crore of the 7.06% bond due 2041 and ₹13,000 crore of the 7.43% bond due 2076 on October 9. Payment on October 12.
Official title: Auction of Government of India Dated Securities · Press Release 2026-2027/1252
What happened
The Government of India will sell two bonds worth ₹36,000 crore on Friday, October 9, 2026: ₹23,000 crore of the 7.06% bond due in 2041 (about 15 years away) and ₹13,000 crore of the 7.43% bond due in 2076 (about 50 years away). Both are re-issues, so existing bonds.
The government can keep up to ₹2,000 crore extra on each. Bids are electronic from 10:30 a.m. and the result comes the same day. Payment is due on Monday, October 12. Up to 5% of each bond is kept for small investors who do not name a price. This is a routine borrowing auction.
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. The minimum is ₹10,000.
What it means for businesses
The bond due in 2076 is a very long loan. Insurers and pension funds, which have long-term payouts to meet, are the usual buyers of such bonds.
Links in this release, explained
- Government of India specific notification, October 5, 2026
The Finance Ministry notice for this particular auction. It carries the legal terms of each bond being sold, such as the interest rate and repayment date. Most readers will not need it.
rbidocs.rbi.org.in/rdocs/content/pdfs/GSEC05102026_E.pdf - General Notification on sale of government securities (March 26, 2025)
The standing Finance Ministry notice that sets the general rules for how the Centre sells its bonds and Treasury bills. Each auction is held under it.
rbidocs.rbi.org.in/rdocs/content/pdfs/GOI26032025_1.pdf - Scheme for Non-competitive Bidding Facility in the Auctions of Government Securities
RBI scheme that lets small investors apply for government securities without naming a price. They get the bond at the average rate that big bidders settle on. Open it if you want to know how a small investor can take part.
www.rbi.org.in/Scripts/NotificationUser.aspx?Id=12193&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 - RBI circular on underwriting of government securities (November 14, 2007)
The circular that sets the underwriting scheme: Primary Dealers (banks and firms that specialise in government bonds) promise to bid for a share of each auction. Open it to see how the commitments and commission work.
www.rbi.org.in/Scripts/NotificationUser.aspx?Id=3936&Mode=0 - Master Direction on Repurchase Transactions (Repo), 2025
RBI's rulebook for repo deals, where one party sells securities and agrees to buy them back later. The release says these bonds can be used in such deals.
www.rbi.org.in/Scripts/BS_ViewMasDirections.aspx?id=12920 - RBI circular on "When Issued" transactions (July 24, 2018)
RBI guidelines on trading a bond in the days before it is formally issued, based on the price it is expected to fetch at the auction.
www.rbi.org.in/Scripts/NotificationUser.aspx?Id=11344&Mode=0 - Fully Accessible Route for non-resident investment
RBI page on the route that lets foreign investors buy certain government bonds without a cap. The release notes that foreign investment in these bonds follows these rules.
www.rbi.org.in/Scripts/bs_viewcontent.aspx?Id=3876
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.