Various state governments are set to raise a combined ₹45,960 crore through an auction of State Government Securities (SGS) scheduled for March 10, 2026, according to reports. The auction will be conducted by the Reserve Bank of India (RBI) via its digital treasury platform, E-Kuber.
The borrowing programme forms part of the regular mechanism through which states raise funds from the market to meet their budgetary and developmental expenditure requirements.
Borrowing Plans of Participating States
Several states will participate in the auction with varying borrowing amounts and maturity tenors.
- Andhra Pradesh plans to raise ₹3,000 crore through three securities with maturities ranging between 13 and 17 years.
- Arunachal Pradesh will borrow ₹190 crore through a 20-year security.
- Assam intends to raise ₹900 crore via a 15-year security.
- Delhi aims to secure ₹1,000 crore through a 10-year bond.
Meanwhile, Gujarat plans to mobilise ₹2,000 crore through two securities with tenors of 7 years and 6 months and 11 years, along with a greenshoe option of ₹500 crore per security. Haryana will issue ₹3,000 crore worth of bonds with maturities of 4, 12, and 18 years.
Karnataka Leads the Borrowing List
Karnataka is expected to be the largest borrower in this auction, planning to raise ₹10,000 crore through a mix of fresh issuances and re-issued securities.
The re-issued securities include 7.31% Karnataka SGS 2033, 7.38% Karnataka SGS 2034, and 7.48% Karnataka SGS 2037. In addition, the state will introduce new securities with tenors of 10 years and 6 months and 14 years.
Borrowing Plans of Other States
Other states participating in the auction include:
- Kerala – ₹1,000 crore through a 23-year security
- Madhya Pradesh – ₹5,800 crore via securities with 10, 14, and 21-year maturities
- Mizoram – ₹120 crore through a 15-year bond
- Sikkim – ₹250 crore via a 10-year security
Punjab will raise ₹2,000 crore through the re-issue of 7.62% Punjab SGS 2032, while Tamil Nadu plans to borrow ₹8,000 crore through a combination of new securities and re-issuances, including 7.23% Tamil Nadu SGS 2033 and 7.63% Tamil Nadu SGS 2056.
Additional Borrowings and Auction Timings
Other participants include:
- Tripura – ₹800 crore via a 15-year security
- Uttar Pradesh – ₹3,500 crore through re-issued securities maturing in 2037, 2041, and 2046
- West Bengal – ₹3,500 crore through securities with 18 and 22-year tenors
Bidding for the auction will be conducted through the E-Kuber platform. Competitive bids will be accepted from 10:30 am to 11:30 am, while non-competitive bids can be submitted between 10:30 am and 11:00 am.
Up to 10% of the notified amount for each security will be reserved for eligible participants under the non-competitive bidding facility, allowing certain investors to participate without submitting price bids. Successful bidders will need to complete payments by March 11, 2026.
Summary:
The Reserve Bank of India will conduct a State Government Securities (SGS) auction on March 10, 2026, enabling multiple states to collectively raise ₹45,960 crore through bonds issued via the E-Kuber platform. Karnataka is expected to be the largest borrower with ₹10,000 crore, followed by Tamil Nadu with ₹8,000 crore and Madhya Pradesh with ₹5,800 crore. The auction will include both fresh issuances and re-issued securities with maturities ranging from 4 to 23 years, with bidding scheduled between 10:30 am and 11:30 am on March 10.
This article is intended solely for educational and informational purposes. The securities or companies mentioned are provided as examples and should not be considered as recommendations. Nothing contained herein constitutes personal financial advice or investment recommendations. Readers are advised to conduct their own research and consult a qualified financial advisor before making any investment decisions.
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