RBI accepts nil bids in 91-day, 182-day and 364-day T-bill auctions
The Reserve Bank of India announced that no bids were accepted in the recent auctions for 91-day, 182-day, and 364-day treasury bills.
Growth Brief DeskPublished 2 min read
Key facts
- Total face value notified was ₹8,000 crore for 91-day T-bills.
- Total face value notified was ₹8,000 crore for 182-day T-bills.
- Total face value notified was ₹7,000 crore for 364-day T-bills.
- Total face value accepted across all three T-bill categories was nil.
The Reserve Bank of India reported zero acceptance in its latest treasury bill auctions for the 91-day, 182-day, and 364-day tenures. According to the central bank's press release, the total face value notified was ₹8,000 crore for 91-day T-bills, ₹8,000 crore for 182-day T-bills, and ₹7,000 crore for 364-day T-bills.
Despite the notified amounts, the total face value accepted across all three categories stood at nil. The cut-off prices and implicit yields at cut-off prices were marked as not applicable.
The auction results were issued as part of the central bank's regular debt management operations. Treasury bills are short-term debt instruments used by governments to raise money for short-term liquidity requirements.
Why it matters
The Reserve Bank of India's decision to accept nil bids in its recent treasury bill auctions signals unusual liquidity conditions or mismatched bidding in the short-term debt market. For banks, institutional investors, and market participants, treasury bills are vital instruments for managing short-term cash flows and deploying surplus funds. When the central bank accepts no bids despite notifying substantial amounts—₹8,000 crore for 91-day and 182-day bills, and ₹7,000 crore for 364-day bills—it reflects pricing misalignment between market expectations and official cut-offs. This outcome temporarily limits short-term investment avenues for liquid cash while keeping funds within the banking system.
- Economy
- RBI
- Regulatory Policy
Sources
Source: Reserve Bank of India