RBI Sets Underwriting Commission Rates for Major Government Bonds

The Reserve Bank of India has announced underwriting commission rates for three key government securities with a total value of Rs 32,000 crore. Set ahead of the July 17, 2026 auction, these rates aim to guide primary dealers in their underwriting commitments, ensuring market stability.

The Reserve Bank of India (RBI) has officially fixed the underwriting commission cut-off rates for three crucial government securities, carrying a combined notified amount of Rs 32,000 crore. This decision was communicated following an underwriting auction conducted on July 17, 2026, aimed at determining the Additional Competitive Underwriting (ACU) for these securities. The central bank confirmed the payable rates to Primary Dealers on Friday.

For the 6.03% Government Security maturing in 2029, with a notified amount of Rs 11,000 crore, the RBI has established the underwriting commission cut-off at 0.44 paise per Rs 100. The Minimum Underwriting Commitment for this security is set at Rs 5,502 crore, along with an additional accepted competitive underwriting amount of Rs 5,498 crore.

Similarly, the 6.68% Government Security due in 2033 also carries a notified amount of Rs 11,000 crore. Here, the commission cut-off rate is 0.34 paise per Rs 100, with a Minimum Underwriting Commitment of Rs 5,502 crore and an equal additional competitive underwriting amount accepted. The highest commission cut-off, 0.62 paise per Rs 100, is for the 7.24% Government Security maturing in 2055, which has a notified amount of Rs 10,000 crore. This security comprises a Minimum Underwriting Commitment of Rs 5,019 crore, with an additional Rs 4,981 crore accepted under competitive underwriting. Together, these securities entail a Minimum Underwriting Commitment of Rs 16,023 crore, with an additional Rs 15,977 crore accepted.