At the short end of the market, the rates have come down sharply and have ruled generally low as compared with the levels prevailing in 1995-96. The typical call money rates ruled low in the range of 2.00 - 5 per cent in the recent period.
The rate on 91-day Treasury Bills came down from 12.97 per cent at the beginning of April 1996 to 7.96 per cent in March 1997. Similarly, the rate on 364 day Treasury Bills declined from 13.12 per cent in April 1996 to 10.10 per cent in March 1997.