Consider the following statements
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The Reserve Bank of India manages and services Government of India Securities but not any State Government Securities.
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Treasury bills are issued by the Government of India and there are no treasury bills issued by the State Governments.
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Treasury bills offer are issued at a discount from the par value.
Which of the statements given above is/are correct?
1 and 2 only
Incorrect Answer2 and 3 only
Correct Answer1, 2 and 3
Incorrect AnswerExplanation:
Treasury bills or T-bills, which are money market instruments, are short term debt instruments issued by the Government of India and are presently issued in three tenors, namely, 91 day, 182 day and 364 day. Treasury bills are zero coupon securities and pay no interest. Instead, they are issued at a discount and redeemed at the face value at maturity.
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By: Abhipedia