RBI Retail Direct scheme

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About RBI Retail Direct Scheme:

It was initially introduced in November 2021.
It gives access to individual investors to maintain gilt accounts with the RBI and invest in government securities.
The scheme enables investors to buy securities in primary auctions as well as buy/sell securities through the NDS-OM platform.
- Negotiated Dealing System – Order Matching system (NDS-OM) means RBI’s screen based anonymous electronic order matching system for trading in Government securities in the secondary market.
It is provides the following facilities to retail investors in government securities market through an online portal:
- Open and maintain a ‘Retail Direct Gilt Account’,
- Access to primary issuance of government securities,
- Access to NDS-OM.
Eligibility: Retail investors can register under the scheme and maintain an RDG account, if they have the following:
- Rupee savings bank account maintained in India,
- PAN, any officially valid document for KYC purpose,
- Valid email-ID and registered mobile number.
Payments for transactions can be done conveniently using saving bank account through internet-banking or Unified Payments Interface (UPI).

Investor services include provisions for transaction and balance statements, nomination facility, pledge or lien of securities and gift transactions. No fees will be charged for facilities provided under the scheme.

Q1: What are G-Secs?

Government Security is a tradable instrument issued by the Central government or the state governments. It acknowledges the government’s debt obligation. These securities are either short term (known as treasury bills with original maturities of less than one year) or long term.

Source: RBI Retail Direct scheme: Soon, you can buy govt bonds directly via Reserve Bank’s new mobile app