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Treasury Security

Definition

Treasury security refers to debt instruments issued by a national government to finance its spending, considered among the safest investments globally. These include bills, notes, and bonds, which typically carry very low credit risk due to the issuing government’s ability to print currency or levy taxes. They serve as a benchmark for interest rates across financial markets and are a primary tool for central banks to conduct monetary policy. Their stability makes them a preferred asset for risk-averse investors.