T-bills rates up as investors seek cushion from inflation

Treasury Bill

Traded yields on bonds at the NSE are also going up, while prices have begun moving lower in tandem with the interest rates’ expectations.

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Returns on Treasury bills and bonds have started increasing as investors seek higher compensation to cover rising inflation, setting the stage for higher borrowing costs for the government.

Interest on the 91-day has increased to 8.3865 percent from 7.4261 percent at the end of March, while returns on the 10-year bond are up to 9.5 percent from 8.85 percent on April 21.

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Note: The results are not exact but very close to the actual.