Business
Centre plans ₹7.86 trillion H2 gilt borrowing
Business Standard··15h ago
The government plans ₹7.86 trillion in dated bond sales in October-March 2026-27, Friday's calendar showed. With ₹8.14 trillion issued in the first half, gross borrowing nears ₹16 trillion, about ₹1.2 trillion below the ₹17.2 trillion budget. Net borrowing stays at ₹11.73 trillion. H2 weekly auctions run ₹33,000 crore to ₹36,000 crore plus ₹15,000 crore green bonds.
Prism
What It Means For You
- Bond traders watch weekly ₹33,000 crore to ₹36,000 crore auctions for yield pressure after the US Fed hike.
- India's 10-year benchmark yield closed at 7.12 percent on Friday per the report.
- Green bond issuance of ₹15,000 crore in H2 targets climate-linked government projects.
What's Happening
- A finance ministry official said net borrowing remains at budget levels despite gross borrowing easing.
- Security switches worth ₹1.11 trillion earlier lowered the FY27 repayment estimate.
- Q3 treasury bill borrowing is set at ₹2.99 trillion for October-December.
Borrowing calendar and tenor mix
- H2 increases the share of 15-year bonds to 17.6 percent from 14.5 percent in the first half.
- Shares of 5-year and 10-year securities decline while 30-year, 40-year and 50-year shares rise.
- RBI set Ways and Means Advances for H2 at ₹50,000 crore for temporary cash mismatches.
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