Consider the following:

1. Market borrowing

2. Treasury bills

3. Special securities issued to RBI

 Which of these is/are components(s) of internal debt?

(a) 1 only (b) 1 and 2 (c) 2 only (d) 1, 2 and 3

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1 Answers

(d) Treasury Bills are money market instruments to finance the short term financial requirements of the Government of India. These are discounted securities and are issued at a discount to face value.

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