Indian government bond yields fell in February as surplus banking liquidity supported demand ahead of record government borrowing in the next fiscal year, while the yield curve steepened as rates across tenors were impacted by varied factors. The benchmark 6.48% 2035 bond yield ended at 6.6603% on Friday after closing at 6.6943% on Thursday. The yield fell 4 basis points this month after rising for three straight months. Bonds had a mixed start to the month after New Delhi announced a higher-than-expected gross borrowing of 17.2 trillion rupees ($189 billion) for the financial year that starts April 1.