RBI Retail Direct Scheme for retail investors to invest in G-Sec

To accomodate participation of retail investors in govt securities, Reserve Bank of India on November 12, 2021 has launched RBI-Retail Direct Scheme.

Reserve Bank of India-Retail Direct (RBI-RD) Scheme will bring G-secs (Government Securities) within easy reach of the common man by simplifying the process of investment. Under the Scheme, retail individual investors will be able to open a Retail Direct Gilt (RDG) Account with the Reserve Bank of India, using an online portal click here to visit or paste in browser (https://rbiretaildirect.org.in). 

Investments can be made using the following routes:

• Primary issuance of government securities: Investors can place bid as per the non-competitive scheme for participation in primary auction of government securities and procedural guidelines for SGB issuance. 
• Secondary market: Investors can buy and sell government securities on NDS-OM (‘Odd Lot’ and ‘Request for Quotes’ segments). 

Online Payments to process transactions: Payments for transactions can be done conveniently using saving bank account through internet-banking or Unified Payments Interface (UPI). 

Support to Investors via phone and enail: Investors can obtain help and other support facilities on the portal itself and also through a toll-free telephone number 1800–267-7955 (10am to 7pm) and email. 

Additional features to make the product attractive: Investor services include provisions for transaction and balance statements, nomination facility, pledge or lien of securities and gift transactions. 

No Charges/fees on Investments: No fees will be charged for facilities provided under the scheme. The Scheme aims to provide a safe, simple, direct and secured platform to investors.

Eligibility of Retail investors: Retail investors can register under the Scheme and maintain a RDG Account, if they have the following: 

1. Rupee savings bank account maintained in India
2. Permanent Account Number (PAN) issued by the Income Tax Department
3. Access to primary issuance of Government securities Any OVD for KYC purpose
4. Valid email id; and 
5. Registered mobile number in India

Can a Non-Resident retail investor eligible to invest in G-sec: Non-Resident retail investors eligible to invest in Government Securities under Foreign Exchange Management Act, 1999 are eligible under the scheme. 

Mode of account opening: The RDG account can be opened singly or jointly with another retail investor who meets the eligibility criteria.