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Debt Market News

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(06 Aug 2025, 17:18)

Treasury bills shine bright in rate fog


The latest weekly Treasury bill auction held on 6 August 2025, saw firm investor interest across tenors, with cut-off yields climbing in all segments. The Reserve Bank of India auctioned Rs 21,000 crore worth of T-bills across 91-day, 182-day and 364-day maturities.

For the 91-day T-bill, the central bank received bids worth Rs 19,120 crore, almost twice the notified amount of Rs 10,000 crore. The cut-off price was fixed at Rs 98.6571, translating into a yield of 5.459%. A total of 67 bids were accepted, and the weighted average yield came in slightly lower at 5.429%.

The 182-day T-bill segment received the highest response, drawing in competitive bids worth Rs 24,822 crore against a notified amount of Rs 6,000 crore. The cut-off yield was set at 5.547% with a price of Rs 97.3083. The RBI accepted 31 bids amounting to Rs 5,993 crore, with a weighted average yield of 5.540%.

For the 364-day tenor, bids came in at Rs 22,935 crore, oversubscribing the Rs 5,000 crore on offer more than fourfold. The cut-off price was Rs 94.7295, implying a yield of 5.579%, the highest among the three buckets. Only 12 bids were accepted for a total of Rs 4,968 crore, and the weighted average yield stood at 5.573%.

Non-competitive bidding also saw meaningful participation. The 91-day T-bill attracted seven bids worth Rs 12,184 crore, all of which were accepted in full. The 182-day and 364-day segments each received three non-competitive bids, resulting in allocations of Rs 1,706 crore and Rs 43.73 crore, respectively.


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