RBI launched Retail Direct Scheme in November 2021, enabling retail investors to directly purchase government securities without intermediaries. The scheme provides a dedicated portal 'RBI Retail Direct' for buying and selling treasury bills, government bonds, sovereign gold bonds, and floating rate bonds. Previously, retail investors accessed these securities only through banks or brokers. The platform offers both primary market participation and secondary market trading. As of March 2024, over 2.5 lakh investors have registered with cumulative investments exceeding ₹25,000 crore, democratizing access to sovereign securities.

The RBI Retail Direct Scheme represents a paradigm shift in India's government securities market by eliminating traditional intermediaries. Historically, retail investors faced barriers including high minimum investment requirements, complex procedures, and dependency on banks or brokers who charged fees. This scheme directly connects investors to RBI's Negotiated Dealing System-Order Matching (NDS-OM) platform. The initiative supports financial inclusion by allowing investments as low as ₹10,000 in government securities, previously accessible mainly to institutional investors. It enhances transparency through real-time pricing and eliminates broker margins. The scheme also strengthens government borrowing by expanding the investor base, reducing dependence on institutional investors and foreign portfolio investors. For monetary policy transmission, a broader retail participation in government securities creates more efficient price discovery and better yield curve formation. The platform's integration with UPI and net banking makes it technologically accessible, aligning with Digital India initiatives while providing retail investors safe, sovereign-backed investment options with competitive returns.