Official Answer Key & Detailed Solution
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Correct Answer: Option (C) — 2 and 3 only
Concept & Option Breakdown
Standard Reference VerifiedStatement 1 is incorrect: The RBI manages and services both Central Government securities (G-Secs, T-Bills) and State Government securities (State Development Loans - SDLs). Statement 2 is correct: Only the Central Government issues Treasury Bills; State Governments do not issue T-bills (they issue SDLs). Statement 3 is correct: Treasury Bills are zero-coupon money market instruments issued at a discount to their face value and redeemed at par upon maturity.
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