Fifteen state governments and two Union Territories (UTs) raised Rs. 470 billion (including greenshoe) through state government securities (SGS) on March 10, 2026, ~20% above the amount indicated in the Q4 FY2026 auction calendar. Delhi issued SGS of Rs. 10 billion for the first time, following an agreement of the Government of National Capital Territory (NCT) of Delhi with the RBI in January 2026, wherein the RBI shall carry on the banking business of Delhi and manage its rupee public debt. The weighted average SGS cut-off eased mildly to 7.48% on March 10, 2026 from 7.49% last week. However, the spread between the cut-off yield of the 10-year SGS and the 10-year G-sec (06.48 GS 2035) rose mildly to 76 bps as on March 10, 2026 from 75 bps last week.

EXHIBIT: Indicated and actual SGS issuances in Q4 FY2026 so far

Source: RBI, ICRA Research