Types of Treasury Bills (T-Bills)

What are the different types of Treasury Bills (T-Bills)?

Treasury Bills, commonly referred to as T-Bills, are short-term securities issued by the Government of India. They come in three distinct maturity periods:
  • 91-day T-Bills
  • 182-day T-Bills
  • 364-day T-Bills
T-Bills are issued as zero-coupon securities, meaning they don’t pay periodic interest. Instead, they are issued at a discount and redeemed at face value upon maturity.

For instance, suppose the Reserve Bank of India issues 91-day T-Bills at a discounted rate of ₹99.50 per bill with a face value of ₹100. An investor buys 10 T-Bills at the bid price of ₹99.50 per bill, investing a total of ₹995. When the T-Bills mature after 91 days, the investor receives ₹1000, the face value of the 10 T-Bills. The interest earned, in this case, would be ₹5 (₹1000 - ₹995).
    • Related Articles

    • What are Treasury Bills or T-Bills?

      Treasury Bills, commonly known as T-Bills, are short-term debt instruments issued by the Government of India, facilitated by the Reserve Bank of India (RBI). They serve as a tool for the government to meet its short-term financial needs. Since ...
    • What is the rate of interest investing in Treasury bills?

      The interest rate for Treasury Bills (T-Bills) isn't pre-set; instead, they are issued at a discount to their face value and mature at par. The interest earned is the difference between the face value and the issue price. The maturity period of ...
    • What are the cut-off timings for investing in G-Secs, T-Bills and SDLs?

      Investing in Government Securities (G-Secs), Treasury Bills (T-Bills), and State Development Loans (SDLs) is subject to specific bidding schedules and maturity periods. It's essential to be aware of the cut-off timings to ensure your investment ...
    • What is the difference between G-Secs, T-Bills and SDLs?

      G-Secs, T-Bills, and SDLs are distinct debt instruments issued by the Indian government to garner funds. While all three are deemed secure, low-risk investments, they offer varied features to cater to different investment objectives. Here's a ...
    • How can I cancel my order for G-Secs, T-Bills, or SDLs on the FYERS platform?

      If you need to cancel an order for Government Securities (G-Secs), Treasury Bills (T-Bills), or State Development Loans (SDLs) on FYERS, simply follow these steps: Navigate to Orders: Upon logging into Fyers Debt Market , go to the 'Orders' tab and ...