The Reserve Bank of India (RBI) has finally released a plan to bring investment in government securities from individual investors. The ‘RBI Retail Direct’ scheme will act as a one-stop solution for retail investors interested in government securities. No fee will be charged for opening and maintaining a ‘Retail Direct Gilt Account’ with the Central Bank. However, the charges for payment gateway, as applicable, will be borne by the registered investor.
As part of continuous efforts to increase retail participation in Government securities, the ‘RBI Retail Direct’ facility was announced in February 2021 to facilitate ease of access by retail investors through online access to the Government Securities market – Primary and Both Secondary – Facility to open your Gilt Securities Account with Reserve Bank.
The ‘online portal’ will also facilitate the registered users to access the NDS-OM along with the primary issuance of Government securities. NDS-OM stands for RBI’s screen-based, anonymous electronic order matching system for trading in government securities in the secondary market. RBI said that the date of launch of the scheme will be announced later.