Monday, July 13, 2015

Discuss the various types of Government securities that are issued by the RBI.Government securities are referred to as 'gilt-edged securities', as...

The RBI is the Reserve Bank of India, India's central bank.  It issues government securities as a way of borrowing money to be used by the government.  As you say, these debt instruments carry a sovereign guarantee and are therefore seen as absolutely secure.


There are many types of government securities issued by RBI:


  • Dated securities with a fixed maturity date

  • Zero coupon bonds

  • Partly paid stock

  • Floating rate bonds

  • Capital indexed bonds

There is not space to discuss these at any length here.  Please follow the links for more information.

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