RBI to issue cash management bills of Rs 25,000 crore on August 6

The RBI will be issuing a 10-day cash management bill on August 6 for Rs 25,000 crore. The cash management bills have the generic character of treasury bills, but are issued at a discount to the face value. These bills are issued on behalf of the government to meet the short-term cash needs of the centre. Unlike treasury bills, however, cash management bills don’t have a coupon attached to it, but are issued at a discount to the face value. At the time of maturity, the face value is repaid to the lender. The cash management bills are also often