Cash Management Bills:
1. are short term money market instruments
2. are issued only by Central Government
3. are meant to meet temporary cash flow mismatch of Central Government
Which among the above statements is/ are correct?
The Government of India, in consultation with the Reserve Bank of India, finalized and introduced a new short-term instrument, known as Cash Management Bills, to meet the temporary cash flow mismatches of the Government. The Cash Management Bills are non-standard, discounted instruments issued for maturities less than 91 days and could be issued as and when need arises.
This question is a part of GKToday's Integrated IAS General Studies Module