The NSE goBID app will be available to all the investors registered with NSE’s trading members. It will allow retail investors to make payment directly from their bank accounts using the Unified Payments Interface (UPI) and internet banking.
On the sidelines of the launch, Securities and Exchange Board of India (Sebi) chairman Ajay Tyagi said retail investment in government securities was still negligible. "In the past one year, only Rs 600 million has been invested by retail investors, which is nothing," he said.
Terming the app launch a good step, Tyagi said the platform should be adequately publicised as government yields give better returns than fixed deposits of banks.
The RBI on November 23, 2017, had permitted stock exchanges to act as aggregators in the process of non-competitive bidding in government securities.
Despite various initiatives in the past, retail participation in the G-sec and corporate bond market has not taken off in a big way. Investors in the sector currently account for only three per cent of outstanding corporate bond issuances.
Experts say with the g-sec yield turning attractive and stock markets
turning choppy, it is an opportune time for retail investors to look at the debt markets.
Currently, the yields for one-year, five-year and 10-year T-Bills yield are 7.33 per cent, 7.65 per cent and 7.82 per cent, respectively.
Investment in g-secs is risk-free as it is supported by sovereign guarantee.