Description
BSE announces non-competitive bidding facility for SDL auction on January 20, 2026, covering 11 state government securities with total issue size of Rs. 13,000 crores across 8 states.
Summary
BSE has announced the availability of non-competitive bidding (NCB) facility for the auction of State Development Loans (SDL) scheduled on January 20, 2026, following RBI’s press release dated January 16, 2026. Trading members can participate through the NCB-GSec module of BSE’s iBBS web-based system. The auction covers 11 SDL securities from 8 states (Assam, Jammu & Kashmir, Karnataka, Odisha, Tamil Nadu, and Uttarakhand) with a total issue size of Rs. 13,000 crores.
Key Points
- Non-competitive bidding facility available for SDL auction on January 20, 2026
- 11 SDL securities offered across 8 states with varying maturities (2032-2056)
- Total issue size: Rs. 13,000 crores
- Bidding platform: BSE iBBS web-based system (https://ibbs.bseindia.com) » NCB-GSec module
- Karnataka has 3 securities (1 re-issue, 2 new) totaling Rs. 6,000 crores - largest allocation
- Tamil Nadu has 3 new securities totaling Rs. 4,000 crores
- Minimum subscription unit: Rs. 10,000 (100 units)
- Maximum bid amount ranges from Rs. 5 crores to Rs. 20 crores per security
- Settlement date: January 21, 2026
Regulatory Changes
No new regulatory changes. This circular is in continuation of Exchange circular no. 20191122-28 dated November 22, 2019, which originally launched the non-competitive bidding facility for State Government Securities auctions conducted by RBI.
Compliance Requirements
For Trading Members:
- Submit bids through NCB-GSec module of iBBS system
- Bid collection deadline: January 20, 2026 till 8:00 AM
- Ensure compliance with minimum subscription units of 100 and multiples thereof
- Adhere to minimum bid amount of Rs. 10,000 per security
- Respect maximum bid limits (Rs. 5-20 crores depending on security)
- Complete obligation and pay-in requirements as per settlement schedule
For Direct Investors:
- Bid collection deadline: January 19, 2026
- Same bidding parameters apply as for members
Important Dates
- January 16, 2026: RBI press release announcing SDL auction
- January 19, 2026 from 10:00 AM: Bid collection start date (24-hour availability)
- January 19, 2026: Bid collection end date for direct investors
- January 20, 2026 till 8:00 AM: Bid collection end date for trading members
- January 20, 2026: SDL auction date
- January 21, 2026: Settlement date
Impact Assessment
Market Impact (Medium): The auction provides liquidity opportunities in the debt market with Rs. 13,000 crores worth of SDL securities. The non-competitive bidding facility enables smaller investors and trading members to participate in government securities auctions without competing on yield, democratizing access to state government debt instruments.
Operational Impact (Medium): Trading members need to coordinate bid submissions within tight timelines. The 24-hour bid collection window starting January 19, 2026 at 10:00 AM provides adequate time, but members must ensure bids are submitted by 8:00 AM on auction day (January 20, 2026).
State-wise Allocation:
- Karnataka: Rs. 6,000 crores (46% of total) - highest allocation
- Tamil Nadu: Rs. 4,000 crores (31% of total)
- Assam: Rs. 1,000 crores
- Jammu & Kashmir: Rs. 500 crores
- Odisha: Rs. 1,000 crores
- Uttarakhand: Rs. 500 crores
Maturity Profile: Securities span maturities from 6 years (2032) to 30 years (2056), offering diverse investment options for different risk-return profiles.
Securities Details
| State | Symbol | Type | Maturity | Issue Size (Rs. Cr) | Max Amount (Rs. Cr) |
|---|---|---|---|---|---|
| Assam | ASNW2046 | New | 2046 | 1,000 | 10 |
| J&K | JKNW2041 | New | 2041 | 500 | 5 |
| Karnataka | KA072532 | Re-issue | 2032 | 2,000 | 20 |
| Karnataka | KANW2034 | New | 2034 | 2,000 | 20 |
| Karnataka | KANW2038 | New | 2038 | 2,000 | 20 |
| Odisha | ORNW2036 | New | 2036 | 500 | 5 |
| Odisha | ORNW2046 | New | 2046 | 500 | 5 |
| Tamil Nadu | TNNW2032 | New | 2032 | 1,000 | 10 |
| Tamil Nadu | TNNW2033 | New | 2033 | 1,000 | 10 |
| Tamil Nadu | TNNW2056 | New | 2056 | 2,000 | 20 |
| Uttarakhand | UKNW2035 | New | 2035 | 500 | 5 |
Contact Information
New User ID/Password Reset:
- Team: Trading Operations
- Email: user.trdops@bseindia.com
- Tel: 022-2272 8005/8215
Bidding Queries:
- Team: Trading Operations
- Email: trading.ops@bseindia.com
- Tel: 022-2272 8376/5626/8226
Obligation & Pay-in Queries:
- Team: ICCL Operations
- Email: Collaterals@icclindia.com, settlements@icclindia.com
- Tel: 022-2272 8468/5784/8264/8467/8223/8704/5163
Impact Justification
Operational circular for debt market participants enabling non-competitive bidding in SDL auction; affects trading members and direct investors in government securities segment