Government Plans to Borrow ₹3.84 Lakh Crore Via Short-Term Treasury Bills in Q4

The Central Government on Monday announced that it will raise ₹3.84 lakh crore through short-term treasury bills during the fourth quarter of the current financial year.  

The borrowing will be spread over a 12-week period and is intended to meet near-term funding requirements, as per a statement from the finance ministry. 

Weekly Auction Sizes Outlined 

According to the calendar, treasury bill auctions will be conducted every week, with amounts ranging between ₹29,000 crore and ₹35,000 crore. These issuances will be staggered across the quarter to align with the government’s cash management needs. 

Borrowing Lower Than Last Year 

The proposed borrowing for Q4 is ₹10,000 crore lower than the ₹3.94 lakh crore raised through treasury bills in the same quarter of the previous financial year. This is a marginal reduction in short-term borrowing compared with last year’s levels. 

Comparison with Q3 Issuance 

In the Q3 of the current financial year, ending December 31, 2025, the government had announced a treasury bill auction calendar totalling ₹2.47 lakh crore.  

The higher borrowing planned for the final quarter shows typical seasonal patterns, as expenditure tends to rise towards the end of the fiscal year. 

RBI Consultation and Flexibility 

The finance ministry said the borrowing programme has been drawn up in consultation with the Reserve Bank of India. It added that the government may revise the notified amounts or auction timelines, depending on funding needs, market conditions, and other relevant considerations, after giving due notice to participants. 

The ministry also noted that the auction calendar remains subject to change if circumstances require. Factors such as intervening holidays or shifts in cash flow requirements could lead to adjustments in the borrowing schedule. 

Read More: Centre Redressed Over 800 Backlogged Cases at Pension Adalat! 

Conclusion 

The Q4 treasury bill borrowing plan of ₹3.84 lakh crore sets out a clear framework for short-term funding in the final quarter of the financial year, while retaining flexibility to respond to evolving fiscal and market conditions. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   
 
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.