For investments in G-Secs, T-Bills, and SDLs, the Reserve Bank of India (RBI) stipulates a minimum bid amount of ₹10,000. You can increase your investment in multiples of this base amount.
Here's a quick example for clarity:
Considering a 20-year G-Sec bond with a coupon rate of 6.5% and a face value of ₹100, the smallest bid you can place is ₹10,000. In this scenario, you would receive 100 units of the bond (calculated as ₹10,000 divided by ₹100). This investment would yield an annual interest of ₹650, which is 6.5% of your initial ₹10,000. Depending on your preference and capability, you can further invest in amounts like ₹20,000, ₹30,000, or any other figure that's a multiple of ₹10,000.