India - Average Long-term Government Bond

India: Average Long-term Government Bond

Unit % p.a., NSA
Adjustments Not Seasonally Adjusted
Wednesday Weekly
Data 24 Nov 2021 4.13
17 Nov 2021 4.1

Series Information

Source Reserve Bank of India
Release Treasury Bills
Frequency Weekly Wednesday
Start Date 4/28/1992
End Date 11/23/2021

India: Markets

Reference Last Previous Units Frequency
Monetary Policy Rate 04 Dec 2021 4 4 %, NSA Daily
Money Market Rate 04 Dec 2021 3.35 3.35 %, NSA Daily
Stock Market Index 03 Dec 2021 57,696 58,461 Index, NSA Daily
Treasury Bills (over 31 days) 01 Dec 2021 3.82 3.83 % p.a., NSA Wednesday Weekly
Lending Rate 26 Nov 2021 4.25 4.25 %, NSA Friday Weekly
Average Long-term Government Bond 24 Nov 2021 4.13 4.1 % p.a., NSA Wednesday Weekly

Release Information

The Reserve Bank of India (RBI) provides data for the 91 Day, 182 Day and 365 day T-Bills. We input the yield on the day of auction. These are auction rates and we data-bank the implicit yield at cut-off price. This is the yield on an instrument if it is held to maturity.

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. They are issued at a discount and redeemed at the face value at  maturity. For example, a 91 day Treasury bill of Rs.100/- (face value) may be issued at say Rs. 98.20, that is, at a discount of say, Rs.1.80 and would be redeemed  at the face value of Rs.100/-. The return to the investors is the difference between the maturity value or the face value (that is Rs.100) and the issue price.

A yield based auction is generally conducted when a new Government security is issued. Investors bid in yield terms up to two decimal places (for example, 8.19  per cent, 8.20 per cent, etc.). Bids are arranged in ascending order and the cut-off  yield is arrived at the yield corresponding to the notified amount of the auction. The cut-off yield is taken as the coupon rate for the security. Successful bidders are those who have bid at or below the cut-off yield. Bids which  are higher than the cut-off yield are rejected.

The 91-day bills are issued weekly while the 182-day and 364-day bills are issued bi-weekly.

Since the Government of India issues only short term debt instruments, we have aliased the 364-day bill with the long term bond alias IRGTLT.IIND.

Since January 2013, the R.B.I. has stopped publishing the auction yields in its Weekly Statistical Bulletin but will instead be published as part of the Monthly Statistical Bulletin.