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What is a Treasury Bill?

Updated: 10/25/2022
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Ksmail

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13y ago

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Treasury Bill

A Treasury Bill (known as T-Bill) is an instrument of money market, used to finance short term requirements of Government of a country. A T-Bill is issued at a rate lower than the Face value, and redeemed at Face value on maturity which is less than one year, this difference is the rate of interest on T-Bill. This rate of interest is called Risk free Rate of the country. Investment in T-Bills as a risk free investment.

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The U.S. Treasury building is featured on the back of the $10 bill.


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Back of ten dollar bill?

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