India's external debt at $426b in December

India's external debt was at $426 billion - including the government's debt of $76.4 billion - at the end of December.

"Government (Sovereign) external debt stood at $76.4 billion, (17.9 per cent of total external debt) at end- December 2013 as against $81.7 billion (20.2 per cent) at end-March 2013," the Finance Ministry said today.

The total external debt of $426 billion showed an increase of $21.1 billion over the March-end level.

"The rise in external debt during the period was due to long-term debt particularly NRI deposits. A sharp increase in NRI deposits reflected the impact of fresh FCNR(B) deposits mobilised under the swap scheme during September-November 2013," it said in the latest quarterly report.

The ministry further said that the long-term debt was $333.3 billion at the end of December, showing an increase of 8.1 per cent over March, 2013 level, while short-term debt declined by 4.1 per cent to $92.7 billion.

"The share of US dollar denominated debt was the highest in external debt stock and stood at 63.6 per cent at end- December 2013, followed by debt denominated in Indian rupee (19.4 per cent), SDR (7.1 per cent), Japanese yen (5.0 per cent) and Euro (3.1 per cent)," it added.

India's foreign exchange reserves provided 69 per cent cover to the total external debt as of December end, as against 72.1 per cent as of March-end, 2013.

The ministry said the debt has remained within manageable limits as indicated by the external debt to GDP ratio of 23.3 per cent, vis-a-vis 21.8 per cent at end-March 2013, and debt service ratio of 5.9 per cent in 2012-13.

"India's external debt has remained within manageable limits due to prudent external debt management policy of the Government of India," it said.

The policy continues to focus on monitoring long and short-term debt, raising sovereign loans on concessional terms with longer maturities, regulating external commercial borrowings through end-use, all-in-cost and maturity restrictions, and rationalising interest rates on Non-Resident Indian deposits, it added.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • Financial inclusion, if executed to plan, will lift economy

    The government’s proposed big push to financial inclusion, as reported by the Press Trust of India, if executed to plan, would go along way

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Arun Kumar Jain

Innovation challenges for IT firms

As established technology companies become old and gear for a ...

Kuruvilla Pandikattu SJ

How we can connect ourselves to others

Most of us have difficulty in being true to ourselves ...

Gautam Gupta

What we can learn from the French fashion scene

It was a pleasure and a treat to experience one ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture