Cash Management Bills
will have the generic character of Treasury Bills and their sale will be subject to the terms and conditions specified in the General Notification No.
In practice, the Treasury also has the option to use cash management bills (CMBs), which do not follow a fixed issuance calendar like other Treasury securities.
Notes: The table reports the changes in average auction yield attributable to using non-cost-minimizing objectives and CMBs (cash management bills) on ten historical dates around the time of the financial crisis.
Cash Management bills
are being used by the central bank to modulate liquidity, although they are short-term instruments that are normally used by the government to overcome temporary cash flow mismatches.
The balance of Treasury financing requirements will be met with the weekly bill auctions, cash management bills
, the monthly note and bond auctions, the May 10-year TIPS reopening auction, the June 30-year TIPS reopening auction, the July 10-year TIPS auction, and the regular monthly 2-year Floating Rate Note (FRN) auctions.
The Reserve Bank of India, or RBI, will auction Rs220 billion ($3.59 billion) of government cash management bills
every Monday, it said in a statement, without specifying for how many weeks the sales would last.