RBI to launch mobile app for investing in gov securities: Check details

New Delhi, Apr 5, 2024 

Mobile version of Retail Direct Scheme will 'enable investors to buy and sell instruments on the go' 

The Reserve Bank of India (RBI) on Friday announced it will introduce a mobile application for its Retail Direct Scheme. The app will help investors in different types of government securities such as bonds and treasury bills.

Introduced in 2020, the Retail Direct Scheme enables investors to buy/sell securities in primary auctions or through the Negotiated Dealing System - Order Matching system (NDS-OM) platform. The scheme gives access to individual investors to maintain Retail Direct Gilt (RDG) account with the RBI and invest in government securities.

"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," said RBI governor Shaktikanta Das as he announced the decision of the Monetary Policy Committee meeting.

How will the app help investors?

Similar to investment apps that enable users to purchase and sell investments, monitor portfolio performance, and access market data directly from their smartphones or tablets, the Retail Direct Scheme app will offer a user-friendly interface tailored for investors. Presently, investors use the online portal for such services.

Who is eligible?

As per the guidelines of the Retail Direct Scheme, a retail investor is eligible to open an account with the RBI by meeting the following criteria:

Having a savings bank account

Possessing a PAN

A valid document for KYC (know your customer) such as Aadhaar, passport, voter identity card.

Valid Email ID

Valid mobile number

A RBI Retail Direct Gilt account can be established either in a single or joint holding mode. Additionally, non-resident retail investors are also permitted to invest in government securities.

What are the account’s benefits

Retail Direct Gilt allows investors to place non-competitive bids in the primary issuance of all central government securities, including treasury bills and sovereign gold bonds, as well as securities issued by various state governments. Under this scheme, people can also access the secondary market through ‘NDS OM’ – RBI’s trading system.

[The Business Standard]