The features of the Indian money market are as follows:

1. Liquidity: The Indian money market is highly liquid, meaning that funds can be easily and quickly converted into cash without significant loss of value. This is due to the presence of various financial institutions that facilitate the buying and selling of short-term money market instruments.

2. Diversity of instruments: The money market in India offers a wide range of instruments to meet the diverse needs of participants. These include treasury bills, commercial paper, certificate of deposits, call money, and repo agreements, among others.

3. Regulated by the Reserve Bank of India (RBI): The Indian money market is regulated by the RBI, which acts as the central bank of the country. The RBI formulates and implements monetary policy measures to ensure the stability and efficiency of the money market.

4. Short-term nature: The money market in India primarily deals with short-term instruments, typically with a maturity period of less than one year. This allows participants to meet their short-term funding requirements and manage liquidity efficiently.

5. Presence of financial intermediaries: Various financial intermediaries, such as commercial banks, non-banking financial companies (NBFCs), and mutual funds, participate in the Indian money market. These institutions play a crucial role in channelizing funds between surplus and deficit units and provide liquidity to the market.

6. Low-risk investments: Money market instruments in India are considered relatively safe investments due to their short-term nature and high liquidity. This makes them attractive to conservative investors who seek low-risk avenues for parking their surplus funds.

7. Contributes to economic stability: The Indian money market plays a vital role in maintaining the stability of the overall economy. It provides short-term finance to various sectors, facilitates efficient allocation of resources, and helps in the smooth functioning of the financial system.

The institutions participating in the Indian money market include:

1. Reserve Bank of India (RBI): As the central bank, the RBI plays a crucial role in regulating and supervising the Indian money market. It formulates monetary policy, issues guidelines, and provides liquidity support to banks and financial institutions.

2. Commercial banks: Commercial banks are the most prominent participants in the Indian money market. They mobilize deposits from individuals and institutions and lend to borrowers, thereby providing liquidity to the market.

3. Non-banking financial companies (NBFCs): NBFCs are financial institutions that provide banking services without having a banking license. They participate in the money market by accepting deposits, making short-term loans, and investing in money market instruments.

4. Primary dealers: Primary dealers are authorized intermediaries in government securities who participate actively in the primary and secondary market for government securities. They play a crucial role in the auction process of treasury bills and government bonds.

5. Mutual funds: Mutual funds pool funds from individual investors and invest in various money market instruments. They provide an avenue for small investors to participate in the money market and earn returns on their investments.

6. Insurance companies: Insurance companies also participate in the money market by investing their surplus funds in short-term instruments. They ensure the safety and