4.2 Laws Relating to Treasury Bills (Rastriya Rin)

The Rastriya Rin (the national debt) — the government's short-term paper: The instrument: the treasury bill (Rastriya Rin Patra) — the government's short-term borrowing instrument (the maturities under a year — the cash-management's tool: bridging the year's revenue-expenditure gaps); The issuance's machinery: the Nepal Rastra Bank — the government's banker — issuing the bills on the government's behalf (the auction's discipline: the discount-based pricing; the banking system's subscription); The legal frame: the NRB Act 2058's faces (the central bank's government-debt role — the advances-and-purchases' discipline); the annual borrowing authorisation's coverage; the Public Debt Management's operational faces; The market's operation: the primary auctions; the secondary trading (the bills' liquidity); the yield's signal (the risk-free rate's benchmark — the financial market's foundation); The longer paper's companion: the development bonds (Vikas Rin Patra) — the multi- year government bonds (the capital-budget's financing; the citizens' savings instruments — the savings certificates' faces). The policy's place (the closing paragraph): the treasury bills as the fiscal-monetary interface — the government's cash management meeting the central bank's monetary operations (the bills in the open-market toolkit); the debt's discipline: the short-term rollover's risk vs the development- bonds' term-matching — the debt-management's maturity art. Exam Focus Long questions: (i) The law relating to government loans (the constitutional floor → the annual authorisation → the instruments → the subnational discipline…