In April 2026, the Reserve Bank of India (RBI) released the indicative borrowing calendar for the first quarter (April–June) of Financial Year 2026-27 (Q1 FY27), under which state governments and Union Territories (UTs) are set to collectively raise Rs 2,54,509.
- The RBI, acting as their debt manager, has scheduled regular auctions to ensure a stable capital-raising process.
Key Details of the Borrowing Plan 2026-27:
Framework: RBI introduced the Benchmark Issuance Strategy (BIS) on a pilot basis this quarter to enhance transparency, provide greater clarity to investors, and stabilise state debt markets by allowing states to issue securities across pre-defined maturity buckets under a pre-announced schedule, creating more predictable and liquid markets.
Pilot States: Nine states participate in the BIS pilot: Andhra Pradesh (AP), Bihar, Chhattisgarh, Kerala, Madhya Pradesh (MP), Maharashtra, Rajasthan, Telangana, and Uttar Pradesh (UP).
Borrowing Volume: The nine pilot states are projected to borrow Rs 1,53,900 crore under BIS, while remaining states and Union Territories (UTs) will raise Rs 1,00,609 crore through traditional market borrowing methods.
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