​Reduction in Government Treasury Bill Sales

On 17th May, 2024, the Reserve Bank of India (RBI) decided to reduce the quantum of the government treasury bill sales.

  • The RBI's decision to cut down on T-bill issuance while planning significant buybacks is a dual strategy aimed at freeing up bank liquidity and managing government debt efficiently.

Understanding Treasury Bills (T-bills)

  • Issued by the Indian government, these are short-term debt instruments for its borrowing needs.
  • They are highly liquid and secure investments with 91, 182, and 364-day maturity options.
  • T-bills are zero coupon securities and pay no interest. Instead, they are issued at a discount and redeemed at the face ....
Do You Want to Read More?
Subscribe Now
To get access to detailed content
Buy July 2024 Issue

Already a Member? Login here

Take Annual Subscription and get the following Advantage
The annual members of the Civil Services Chronicle can read the monthly content of the magazine as well as the Chronicle magazine archives.
Readers can study all the material before the last six months of the Civil Services Chronicle monthly issue in the form of Chronicle magazine archives.
Be an Annual Subscriber

Related Content

Economy Watch