The Government securities comprise dated securities issued by the Government of India and state governments with tenor beyond one year. At present, there are Central Government dated securities with a tenor up to 30 years in the market.
State Government Securities are securities issued by the state governments and are also known as State Development Loans (SDLs).
Treasury bill is a monetary policy instrument through which government raise funds for short period requirements and commercial banks invest their short period surpluses by buying these bills from government.
T-bills and G-Sec auctions are held on the Negotiated Dealing System (NDS) and the members electronically submit their bids on the system
Types of T-bills
Generally, there are three types of treasury bills:
T-bill can be issued for 14 days, but in India generally securities above three maturities are issued.
Auctions of all these securities are managed and serviced by the Reserve Bank of India.
Punjab Civil Services 2021