Centre Targets Rs 8 Lakh Crore via Dated Securities to Bridge Fiscal Gap

The Indian government is set to mobilize Rs 8 lakh crore through the issuance of dated securities in the first half (H1) of the fiscal year 2026-27, the finance ministry announced on Friday. This measure is part of a broader effort to fund the fiscal deficit, projected at 4.3 percent of GDP.

The Budget 2026-27 had initially proposed gross market borrowings of Rs 17.2 lakh crore. However, subsequent switching of government securities has reduced this figure to Rs 16.09 lakh crore. Of this, Rs 8.2 lakh crore is planned to be raised in H1, including Rs 15,000 crore via Sovereign Green Bonds.

These borrowings will be facilitated through 26 weekly auctions, spreading securities over various tenures up to 50 years, offering opportunities for both institutional and retail investors. The government, with RBI consultation, retains the flexibility to adjust auction schedules and amounts per market conditions.