Question : Treasury bills are issued by the _______.
Option 1: Securities and Exchange Board of India
Option 2: Government of India
Option 3: Reserve Bank of India
Option 4: Insurance Regulatory and Development Authority of India
Correct Answer: Government of India
Solution : The correct answer is the Government of India.
Treasury bills (T-bills) are issued by the Government of India. It is a borrowing instrument which enables investors to park their short-term funds while reducing the market risk. Only the central government issues these T-bills. They come in the variant of 3 forms - 91 days T-bill, 182 days T-bills and 364 days T-bills.
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