It is short term negotiable instrument issued by Reserve Bank of India on behalf of Government maturing in less than one year. Identify the money market instrument mentioned above?
This question was previously asked in
Shift 16/06/2023 3:30 PM - 6:30 PM
A
Treasury Bill
B
Commercial paper
C
Certificate of Deposit
D
Commercial bill
Correct Answer
Treasury Bill
Detailed Explanation
The money market instrument mentioned in the description is a Treasury Bill (T-Bill). Treasury Bills are short-term, highly liquid debt instruments issued by the government to raise funds. They typically have maturities of less than one year and are considered one of the safest forms of investment.
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