RBI announces OMO purchase auction results; to hold underwriting auction for Rs 28,000-crore G-Sec sale on Dec 12

In the OMO purchase auction held earlier today, the RBI accepted a total face value of Rs 50,000 crore across seven government securities. The highest acceptance, at Rs 21,189 crore, was recorded for the 7.26% GS 2032 bond, followed by Rs 15,316 crore for the 7.02% GS 2031 bond.

The 6.75% GS 2029 security saw an uptake of Rs 6,638 crore, while the 6.79% GS 2034 and 6.92% GS 2039 securities drew Rs 1,033 crore and Rs 657 crore, respectively. The 7.54% GS 2036 bond accounted for Rs 3,942 crore, and the longest-dated 6.67% GS 2050 paper saw an acceptance of Rs 1,225 crore.

The central bank's yield cutoffs stood at 6.1277% for the 2029 maturity, 6.4391% for the 2031 paper, and 6.6021% for the 2032 bond. The 2034 security was priced at a cut-off yield of 6.6515%, while yields for the 2036 and 2039 papers were fixed at 6.8373% and 6.9600%, respectively. The 6.67% GS 2050 bond had the highest cutoff yield at 7.2902%, with corresponding cutoff prices ranging from Rs 92.91 to Rs 105.18. Detailed results will be issued separately, the RBI added.

Separately, the central bank announced that it will conduct an underwriting auction on December 12 for the Government of India's sale (re-issue) of securities aggregating Rs 28,000 crore.

The auction will cover the 6.68% GS 2040 for Rs 16,000 crore and the 6.90% GS 2065 for Rs 12,000 crore. Under the underwriting framework notified in November 2007, each Primary Dealer (PD) will have a Minimum Underwriting Commitment (MUC) of Rs 381 crore for the 2040 bond and Rs 286 crore for the 2065 bond, which will also apply to their minimum bidding commitments under the Additional Competitive Underwriting (ACU) segment.

The underwriting auction will follow a multiple-price method and will be conducted via the e-Kuber platform between 9:00 a.m. and 9:30 a.m. on Friday. (ANI)