## Summary of Government of India Notification: Reissue of 6.97% Government Stock 2026
This notification, issued by the Department of Economic Affairs, Ministry of Finance, Government of India on October 24, 2016, announces the sale (reissue) of the 6.97% Government Stock 2026 for an aggregate amount of ₹7,000 crore (Nominal). The sale will be conducted through a price-based auction using a multiple price auction method via the Reserve Bank of India (RBI), Mumbai Office.
**Key Details:**
* **Stock:** 6.97% Government Stock 2026
* **Aggregate Amount:** ₹7,000 crore (Nominal)
* **Auction Method:** Price-based auction (Multiple Price Method)
* **Auction Date:** October 28, 2016
* **Auction Venue:** Reserve Bank of India, Mumbai Office, Fort, Mumbai 400 001
* **Bidding Platform:** RBI's e-Kuber system
* **Bidding Timelines:**
* Non-Competitive Bids: 10:30 a.m. to 11:30 a.m.
* Competitive Bids: 10:30 a.m. to 12:00 noon
* **Allotment to Non-Competitive Bidders:** Up to 5% of the notified amount is reserved for eligible individuals and institutions as per the Scheme for Non-Competitive Bidding Facility.
* **When Issued (WI) Trading:** The stock is eligible for WI trading as per RBI guidelines.
* **Tenure:** 10 years, commencing from September 6, 2016.
* **Redemption Date:** September 6, 2026 (at par)
* **Date of Issue and Payment:** November 1, 2016 (reissue date). Payment includes accrued interest from September 6, 2016, to October 31, 2016.
* **Interest Rate:** 6.97% per annum, payable semi-annually on March 06 and September 06.
* **Reference Documents:** General Notification F. No. 4(13)/WM/2008, dated October 8, 2008.
* **Result Announcement:** The RBI will display the auction results at its Mumbai Office on October 28, 2016.
This notification is issued under the order of the President of India. For further information, contact Prashant Goyal, Joint Secretary to the Government of India.
Key Entities Referenced
Ministry of Finance: The ministry responsible for economic and financial matters in the Government of India.
Department of Economic Affairs: A department within the Ministry of Finance, responsible for economic policy and development.
6.97 per cent Government Stock 2026: A specific government security being reissued through auction, maturing in 2026 with an interest rate of 6.97%.
Reserve Bank of India: The central bank of India, responsible for conducting the auction and managing government securities.
Mumbai, Maharashtra: The city where the Reserve Bank of India's office is located, which is conducting the auction.
General Notification F. No. 4 13WM2008, dated October 8, 2008: A previously issued notification providing general terms and conditions for government stock auctions.
Scheme for Noncompetitive Bidding Facility in the Auctions of Government Securities: A scheme that allows eligible individuals and institutions to bid non-competitively for a portion of the government stock.
Prashant Goyal: Joint Secretary to the Government of India, signing the notification.
Government of India
Ministry of Finance
Department of Economic Affairs
Budget Division
New Delhi, dated October 24, 2016
NOTIFICATION
Auction for Sale (Re-issue) of 6.97 per cent Government Stock 2026
F. No.4 (2) W&M/2016(i): Government of India hereby notifies sale (re-issue) of ‘6.97
percent Government Stock 2026’ (hereinafter called 'the Stock') for an aggregate amount
of ` 7,000 crore (nominal). The sale will be subject to the terms and conditions spelt out in
this notification (called ‘Specific Notification’) as also the terms and conditions specified in
the General Notification F. No. 4 (13)–W&M/2008, dated October 8, 2008 issued by
Government of India.
Method of Issue
2. The Stock will be sold through Reserve Bank of India, Mumbai Office, Fort, Mumbai- 400
001 in the manner as prescribed in paragraph 5.1 of the General Notification F. No. 4 (13)–
W&M/2008, dated October 8, 2008 by a price based auction using multiple price
auction method.
Allotment to Non-competitive Bidders
3. The Government Stock up to 5% of the notified amount of the sale will be allotted to
eligible individuals and institutions as per the enclosed Scheme for Non-competitive Bidding
Facility in the Auctions of Government Securities (Annex).
Place and date of auction
4. The auction will be conducted by Reserve Bank of India, Mumbai Office, Fort, Mumbai-
400 001 on October 28, 2016. Bids for the auction should be submitted in electronic format
on the Reserve Bank of India Core Banking Solution (E-Kuber) system on October 28,
2016. The non-competitive bids should be submitted between 10.30 a.m. and 11.30 a.m.
and the competitive bids should be submitted between 10.30 a.m. and 12.00 noon.
When Issued Trading
5. The Stock will be eligible for “When Issued” trading in accordance with the guidelines
issued by the Reserve Bank of India.
Tenure
6. The Government Stock will be of ten years tenure commencing from September 6, 2016.
The Stock will be repaid at par on September 6, 2026.
Date of issue and payment for the stock
7. The result of the auction shall be displayed by the Reserve Bank of India at its Fort,
Mumbai Office on October 28, 2016. The payment by successful bidders will be on
November 1, 2016 i.e. the date of re-issue. The payment for the Stock will include accrued
interest on the nominal value of the Stock allotted in the auction from the date of original
issue i.e September 06, 2016 to October 31, 2016.
Interest
8. Interest at the rate of 6.97 per cent per annum will accrue on the nominal value of the
Stock from the date of original issue and will be paid half yearly on March 06 and
September 06.
By Order of the President of India
(Prashant Goyal)
Joint Secretary to the Government of India