What changed
The Government of India issued Amendment Notification No. F.4(2)-W&M/2018 dated December 23, 2021, amending the March 27, 2018 General Notification for sale of Treasury Bills and Cash Management Bills by auction. RBI communicated this amendment to all G-Sec market participants on December 24, 2021.
What it means for you
Banks and primary dealers must align their auction participation processes with the updated terms. The amendment may affect bidding procedures, settlement timelines, or eligibility criteria for T-Bill and CMB auctions.
What you must do
- Review the enclosed amendment notification for specific changes to auction terms.
- Update internal auction participation guidelines and compliance checklists accordingly.
- Train treasury and dealing room staff on the revised auction conditions.
- Ensure system updates for any changes in bid submission or settlement processes.
Who it affects
All participants in the Government Securities market, Primary Dealers, Banks dealing in Treasury Bills and Cash Management Bills, Treasury departments of financial institutions
What is the effective date of the amendment?
The amendment notification is dated December 23, 2021, and was communicated by RBI on December 24, 2021.
Does this affect all T-Bill auctions going forward?
Yes, the amendment updates the general terms for all future auctions of Government of India Treasury Bills and Cash Management Bills.
Where can I find the full amendment text?
The amendment notification is enclosed with the RBI circular; refer to the official RBI notification for the complete document.