BSE is launching Interest Rate Derivatives (IRD) contracts — both Futures and Options — on two Government of India bonds: the 6.36% GS maturing February 16, 2031 (636GS2031) and the 6.94% GS maturing May 11, 2036 (694GS2036). These contracts will be available for trading from May 19, 2026, extending the exchange’s existing cash-settled IRF framework introduced in June 2015.

Key Points

• Two new underlying bonds added to the IRD segment: 636GS2031 and 694GS2036.
• Both Interest Rate Futures (IRF) and Options contracts will be introduced on each bond.
• Contracts are effective from May 19, 2026.
• This builds on the existing framework for Exchange Traded Cash Settled Interest Rate Futures (notice 20150616-21 dated June 16, 2015).
• Detailed product specifications and trading parameters are provided in separate annexures (Annexure_636GS2031 and Annexure_694GS2036).

Regulatory Changes

No changes to existing regulations. This is an expansion of the existing IRD product suite under the previously established cash-settled IRF framework. Trading members should refer to the original notice 20150616-21 (June 16, 2015) for the baseline framework.

Compliance Requirements

• Trading members must review the product details and trading parameters in the attached annexures before trading.
• For clarifications, trading members should contact their respective BSE Relationship Managers.

Important Dates

• May 18, 2026: Notice issued.
• May 19, 2026: New IRD contracts on 636GS2031 and 694GS2036 go live for trading.

Impact Assessment

This launch broadens the range of interest rate risk management instruments available on BSE. Market participants — particularly banks, mutual funds, insurance companies, and other institutional players — active in the government securities market will have additional hedging and trading tools. The introduction of both futures and options on these two bonds increases flexibility for duration management strategies. Impact is moderate, limited to participants in the IRD segment.