The Reserve Bank of India (RBI) on Wednesday completed its latest auction of Treasury Bills (T-Bills), raising a total of Rs 21,000 crore across three maturities, with yields showing a marginal uptick.
According to auction data released by the central bank, the sale comprised Rs 10,000 crore of 91-day bills, Rs 6,000 crore of 182-day bills, and Rs 5,000 crore of 364-day bills, in line with the notified amounts.
Demand remained strong, with competitive bids totaling Rs 26,050.09 crore for 91-day bills, Rs 20,020.50 crore for 182-day bills, and Rs 20,723 crore for 364-day bills. However, only a portion of these bids were accepted: Rs 9,979.02 crore, Rs 5,979.49 crore, and Rs 4,979.57 crore respectively.
Cut-off yields were set at 5.4902% for 91-day bills, 5.5678% for 182-day bills, and 5.5898% for 364-day bills, all slightly higher than recent auctions, indicating marginal upward movement in short-term rates. Weighted average yields stood slightly lower: 5.4757%, 5.5587%, and 5.5827% respectively.
Non-competitive bids, primarily from small investors and certain institutions, were fully accepted, amounting to Rs 5,020.98 crore for 91-day bills, Rs 20.51 crore for 182-day bills, and Rs 1,067.81 crore for 364-day bills.
The RBI conducts such auctions as part of its government debt management operations, with market yields often reflecting broader liquidity and interest rate expectations.