Explanation:

Key Points

• A government bond is a debt instrument issued by the Central and State Governments of India.
• A government bond in India is essentially a contract between the issuer and the investor, wherein the issuer guarantees interest earnings on the face value of bonds held by investors along with repayment of the principal value on a stipulated date.
• Government Bonds India, fall under the broad category of government securities (G-Sec) and are primarily long-term investment tools issued for periods ranging from 5 to 40 years. It can be issued by both the Central and State governments of India.
• Bond yield is the return on the bond an investor will get by investing in a bond. 
• Bond yield is inversely proportional to Bond price. As bond prices increase, bond yields fall.
• Indian Government Bond Yields are influenced by:-
  • The monetary policy of the Reserve Bank of India.
  • The course of interest rates.
  • The fiscal position of the government and its borrowing program. 
  • Global markets.
  • Economy. 
  • Inflation.
• Hence all the there factors can influence Indian Government Bond Yields.