The Reserve Bank of India will conduct a government bond auction on January 2, offering a re-issue of the 6.48 per cent Government Security 2035 for Rs 32,000 crore. The government may retain an additional Rs 2,000 crore. The auction, using a multiple price method, is open to competitive and non-competitive bids, with a portion reserved for eligible individuals and institutions. This process allows the government to borrow funds for public spending.