How often are treasury bills issued and what maturities do they typically have?

• A. They are issued weekly by the DMO, with maturities of one, three or six months.
• B. Issued monthly with maturities of one year.
• C. Issued daily with maturities of five days.
• D. Issued quarterly with maturities of twelve months.

Answer: (A)

Treasury bills are short‑term government securities used to cover near‑term cash needs. They’re issued weekly by the Debt Management Office, with short maturities around one, three or six months. They’re issued at a discount to par and redeemed at par, so the return comes from the price difference at maturity. This weekly schedule and these short maturities reflect their role as a liquid, short‑term funding tool. The other options don’t fit because they describe different issuance frequencies or longer/shorter maturities that aren’t typical for these bills.