RBI Retail Direct Scheme: The Reserve Bank of India (RBI) is planning to launch a mobile application aimed at facilitating seamless investment in government securities by retail investors. Using this app, investors can buy central and state government bonds as well as Treasury bills. The move is aimed at enhancing individual participation in government bonds.
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The app is an extension of RBI’s Retail Direct scheme, which was initially introduced in November 2021.
RBI Retail Direct Scheme gives access to individual investors to maintain gilt accounts with the RBI and invest in government securities.
This announcement regarding the app launch was made today by RBI Governor Shaktikanta Das during the first monetary policy review of fiscal year 2025. This app will be of greater convenience to retail investors and deepen the G-sec market, Das said.
“The scheme enables investors to buy securities in primary auctions as well as buy/sell securities through the NDS-OM platform. To further improve ease of access, a mobile application of the Retail Direct portal is being developed. The app will enable investors to buy and sell instruments on the go, at their convenience. The app will be available for use shortly,” the Reserve Bank said in a statement.
NDS-OM means RBI’s screen based, anonymous electronic order matching system for trading in Government securities in the secondary market.
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The scheme was formulated as a one-stop solution to facilitate investment in government securities by retail investors.
Payments for transactions can be done conveniently using saving bank account through internet-banking or Unified Payments Interface (UPI). Investors can obtain help and other support facilities on the portal itself and also through a toll-free telephone number 1800–267-7955 (10 am to 7 pm) and email. 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.
The scheme aims to provide a safe, simple, direct and secured platform to investors, according to the RBI.
Scope of Retail Direct Scheme
RBI Retail Direct scheme is a comprehensive scheme which 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, and access to NDS-OM.
Eligibility
Retail investors, as defined under the scheme, 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.
