India Raises ₹240 Billion In Treasury Bill Auction As Yields Ease Across All Tenors

The Reserve Bank of India (RBI) conducted treasury bill auctions today, raising a total of 240 billion rupees. The yields across all maturities declined marginally, signaling robust investor appetite and confidence in short-term government securities.

Auction Details

The RBI sold 60 billion rupees of 364-day treasury bills at 94.7176 rupees, with yields at 5.5923%, down from 5.6278% in the last auction. Similarly, 60 billion rupees of 182-day bills were sold at 97.3412 rupees, with yields at 5.4779% versus 5.5299% previously. The largest tranche, 120 billion rupees of 91-day bills, was sold at 98.7178 rupees, with yields at 5.2097%, lower than 5.3064% in the prior auction.

Market Impact

The decline in yields indicates strong liquidity and investor confidence in India’s short-term debt instruments. Analysts suggest that the results highlight steady demand for government securities amid global uncertainties, reinforcing India’s financial stability outlook.

Key highlights

• RBI raises 240 billion rupees via treasury bills
• 364-day yield at 5.5923%, lower than last auction
• 182-day yield at 5.4779%, showing investor demand
• 91-day yield at 5.2097%, reflecting strong liquidity conditions

Sources: Reuters, Bloomberg, Economic Times, Business Standard