UPSC CSE Prelims
Question 76
Consider the following statements :
- The Reserve Bank of India manages and services Government of India Securities but not any State Government Securities.
- Treasury bills are issued by the Government of India and there are no treasury bills issued by the State Governments.
- Treasury bills offer are issued at a discount from the par value.
Which of the statements given above is/are correct ?
View correct answer and explanation
Correct answer: C
Correct Option: C
Explanation: RBI manages both central and state government debt subject to arrangements; Treasury Bills are short-term Government of India instruments issued below face value and redeemed at par, not generally state treasury issues.
Statement/Pair-wise Analysis:
Statement/Item 1: Incorrect - RBI services Government of India securities and also manages state government securities/debt under relevant arrangements.
Statement/Item 2: Correct - Treasury Bills are issued by the Union Government; states normally issue State Development Loans, not Treasury Bills.
Statement/Item 3: Correct - Treasury Bills are sold at a discount and redeemed at face value.
Option-wise Analysis:
A: Incorrect - includes incorrect statement/item 1; omits correct statement/item 3.
B: Incorrect - omits correct statement/item 2.
C: Correct - includes all and only the true statements/items.
D: Incorrect - includes incorrect statement/item 1.