The central government plans to borrow up to ₹3.36 trillion through the issuance of Treasury Bills in the second quarter of the current financial year, the Reserve Bank of India (RBI) said in a release on Thursday. The indicative borrowing for the quarter was along expected lines, market participants said.
The government will raise ₹1.26 trillion through 91-day Treasury Bills, ₹1.12 trillion through 182-day Treasury Bills and ₹98,000 crore through 364-day Treasury Bills during the quarter.
The RBI has scheduled 14 weekly auctions between July 1 and September 30. Each auction will comprise ₹9,000 crore of 91-day Treasury Bills, ₹8,000 crore of 182-day Treasury Bills and ₹7,000 crore of 364-day Treasury Bills, taking the weekly notified amount to ₹24,000 crore.
The first auction of the quarter is scheduled for July 1. The central bank said it would retain the flexibility to modify the notified amounts and auction schedule depending on the government’s requirements, market conditions and other relevant factors after providing notice to the market.
Any changes to the borrowing calendar, including those arising from intervening holidays, will be communicated through separate press releases, the RBI said.