G-Sec Yield Spread Widens to 48 bps on RBI Easing
Why in the news
The gap between short and long government bond yields widened sharply amid RBI easing.
Key facts
| Measure | Level |
|---|---|
| Spread, January 2025 | 4 bps |
| Spread, start of FY26 | 15 bps |
| Spread now | 48 bps |
| 3-year yield | 5.83% |
| 10-year benchmark | 6.31% |
About G-Secs
- Sovereign debt issued by RBI for the Government of India.
- Short-term under 5 years; long-term usually 10 years or more.
Exam angle
- Terms: basis point, CRR, yield spread.