The government raised Rs 24,000 crore through the auction of Treasury Bills (T-Bills) on Wednesday, with strong investor demand seen particularly in the 91-day and 182-day papers.

The auction comprised Rs 12,000 crore of 91-day T-Bills, Rs 6,000 crore of 182-day T-Bills, and Rs 6,000 crore of 364-day T-Bills.

The 91-day paper attracted the highest demand, with competitive bids worth Rs 27,619.03 crore received against the notified amount of Rs 12,000 crore, implying a subscription of over 2.3 times. The cut-off yield stood at 5.3398%, while the weighted average yield came in slightly lower at 5.3254%.

The 182-day T-Bill also saw robust appetite, drawing bids worth Rs 25,462.30 crore against the notified Rs 6,000 crore, or more than four times the issue size. The security was accepted at a cut-off yield of 5.5348%, with a weighted average yield of 5.5291%.

Demand for the 364-day paper was comparatively moderate, with bids worth Rs 8,950 crore received against the notified amount of Rs 6,000 crore. The cut-off yield for the one-year T-Bill stood at 5.7688%, while the weighted average yield came in at 5.7395%.

Competitive bids accepted stood at Rs 11,400 crore for the 91-day paper and Rs 5,700 crore each for the 182-day and 364-day securities. The remaining allocations were made through the non-competitive segment.

Partial allotments were seen across all three tenors. The 91-day T-Bill saw 57.40% allotment at the cut-off price, while the 182-day and 364-day papers recorded allotment ratios of 81.54% and 71.25%, respectively.

Non-competitive bids remained healthy, with the government accepting Rs 3,300 crore in the 91-day paper, Rs 1,500 crore in the 182-day security, and Rs 1,100 crore in the 364-day T-Bill.

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