RBI Sets Ultra-Low Underwriting Commissions for 2054 and 2029 Bonds in Latest Auction

In a move reflecting robust demand and confidence in India’s sovereign debt, the Reserve Bank of India (RBI) has finalized the underwriting commissions for its latest government bond auction held on April 25, 2025. The RBI set an underwriting commission of ₹0.0015 per ₹100 for the 2054 maturity bonds and ₹0.0006 per ₹100 for the 2029 maturity bonds—among the lowest rates seen in recent auctions.

 

Key Highlights:

These rates come at a time when Indian bond yields are hovering near multi-year lows, supported by RBI’s liquidity injections and a favorable inflation outlook, further boosting demand for government securities.

The underwriting auction process is crucial for the government’s ability to raise funds at competitive rates, and the low commissions reflect both the health of the market and the effectiveness of RBI’s monetary management.

 

This outcome highlights the resilience and attractiveness of Indian government bonds as the nation continues its growth trajectory.

 

Sources: Economic Times, Business Standard, GSC Bank, CCIL