India’s 3-Month, 1-Year Borrowing Costs Rise at T-Bill Auction

Oct. 19 (Bloomberg) --India’s three month and one-year borrowing costs increased as the government raised 80 billion rupees selling treasury bills at a weekly auction, the central bank said.

The government sold 40 billion rupees of 91-day bills at a minimum price of 97.89 per 100 rupee face amount, or a maximum yield of 8.6456 percent, the Reserve Bank of India said in an e- mailed statement today, compared with 8.4782 percent on Oct. 12.

It also auctioned 40 billion rupees of 364-day bills at a cut-off price of 92.03 rupees, or a yield of 8.6840 percent, versus 8.5185 percent on Oct. 5.

To contact the reporter on this story: Jeanette Rodrigues in Mumbai at jrodrigues26@bloomberg.net

To contact the editor responsible for this story: V Ramakrishnan at rvenkatarama@bloomberg.net