India’s External Debt: Trends,
Policy Measures and Cross-Country
Comparison*
The current account deficit was largely financed
through debt flows with continued uncertainty in the
global economy affecting the quantum of equity flows
during the first quarter of 2012-13. However, the
magnitude of increase in external debt was lower than
that of the preceding quarter largely due to valuation
gains resulting from appreciation of US dollar against
Indian rupee and other international currencies.
Increase in external debt during Q1 of 2012-13 was
largely due to rise in Non-resident external Rupee
denominated ((NR(E) RA) deposits, inter alia, induced
by deregulation of interest rates on these deposits in
December 2011 and increased recourse to short-term
trade credit. A notable aspect of the components of the
debt was that external commercial borrowings recorded
a marginal decline due to higher repayments and also
reflecting growing risk aversion due to increased
exchange rate volatility. With regard to currency
composition of debt, the US dollar denominated debt
continued to be the highest, constituting more than
fifty percent of total external debt. The trends in key
vulnerability indicators suggest that though the
external debt is within manageable level, there was
some deterioration during the first quarter in terms of
debt-GDP ratio, short-term debt to total debt and
reserves to total debt warranting close monitoring of
external debt. However, India’s debt position in terms
of these key vulnerability indicators appears better visa-
vis top twenty indebted countries.
The article begins with an outline of external debt
as at end-June 2012. Section I presents detailed analysis
of external debt. Section II provides the cross-country
comparison based on World Bank’s ‘Global Development
Finance’ data with a focus on ‘where does India stand’
in terms of different indicators vis-a-vis Top twenty
indebted countries. Section III details the recent policy measures. Concluding observations are presented in
Section IV.
Section I: India’s External Debt as at end-
June 2012
External debt stock at end-June 2012 increased
moderately
India’s external debt, as at end-June 2012, was
placed at US$ 349.5 billion showing an increase of US$
3.9 billion or 1.1 per cent over the end-March 2012 level
primarily on account of Non-resident external rupee
((NR(E) RA) denominated deposits and short-term trade
credits (Table 1, Statement 1 and Statement 2).
Significantly, the stock of multilateral debt and external
commercial borrowings (ECB) at the end of June 2012
was lower than that of the level at end of March 2012.
The decline in the stock of ECB was due to higher
repayments during the quarter coupled with growing
risk aversion due to increased exchange rate volatility.
The share of short-term debt in total debt rose over
the preceding as well as corresponding quarter of the
previous year mainly due to higher trade credit. The
long-term debt at US$ 269.1 billion and short-term debt
at US$ 80.5 billion accounted for 77.0 per cent and 23.0
per cent, respectively, of the total external debt as at
end-June 2012 (Table 2). Although, widening CAD was
largely financed through debt flows, rise in magnitude
of debt over the preceding quarter has been relatively
moderate since a part of the rise was offset by valuation
gains. The valuation gains during the first quarter of
2012-13 amounted to US$ 7.9 billion reflecting the
appreciation of US dollar against the Indian rupee and
other major currencies. Thus excluding the valuation
gains the stock of external debt as at end-June 2012
would have increased by US$11.8 billion.
Table 1: External Debt – Outstanding and Variation |
(US$ million) |
Item |
Outstanding at the end-of |
Absolute variation |
Percentage variation |
Jun-11 |
Mar 2012 PR |
Jun 2012 P |
Jun-12 over
Jun-11 |
Jun-12 over
Mar-12 |
Jun-12 over
Jun-11 |
Jun-12
over
Mar-12 |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
1. Multilateral |
49,375 |
50,453 |
49,780 |
406 |
-673 |
0.8 |
-1.3 |
2. Bilateral |
26,168 |
26,714 |
27,248 |
1,081 |
534 |
4.1 |
2.0 |
3. IMF |
6367 |
6163 |
6037 |
-330 |
-126 |
-5.2 |
-2.0 |
4. Trade Credit |
18,692 |
18,980 |
19,094 |
402 |
114 |
2.2 |
0.6 |
5. External Commercial Borrowings |
92,675 |
105,210 |
104,841 |
12,166 |
-369 |
13.1 |
-0.4 |
6. NRI Deposits |
52,898 |
58,608 |
60,874 |
7,976 |
2,266 |
15.1 |
3.9 |
7. Rupee Debt |
1,568 |
1,354 |
1,219 |
-349 |
-135 |
-22.3 |
-10.0 |
8. Short-Term Debt |
68,474 |
78,179 |
80,450 |
11,976 |
2,271 |
17.5 |
2.9 |
Of which |
|
|
|
|
|
|
|
(i) Short Term Trade Credit |
61,532 |
65,130 |
70,508 |
8,976 |
5,378 |
14.6 |
8.3 |
Total Debt |
316,216 |
345,661 |
349,543 |
33,327 |
3,882 |
10.5 |
1.1 |
Memo Items |
A. Long-Term Debt (1 to 7) |
247,742 |
267,482 |
269,093 |
21,351 |
1,611 |
8.6 |
0.6 |
B. Short-Term Debt |
68,474 |
78,179 |
80,450 |
11,976 |
2,271 |
17.5 |
2.9 |
P: Provisional. PR: Partially Revised.
Source: Ministry of Finance, Government of India and Reserve Bank of India |
Table 2: External Debt by Component |
(US $ million) |
Item |
End- March |
End-June |
2010 |
2011 |
2012PR |
2011 PR |
2012 P |
1 |
2 |
3 |
4 |
5 |
1. Multilateral |
42,857 |
48,474 |
50,453 |
49,375 |
49,780 |
|
(16.4) |
(15.8) |
(14.6) |
(15.6) |
(14.2) |
2. Bilateral |
22,593 |
25,698 |
26,714 |
26,168 |
27,248 |
|
(8.7) |
(8.4) |
(7.7) |
(8.3) |
(7.8) |
3. IMF |
6,041.0 |
6,308 |
6163 |
6367 |
6037 |
|
(2.3) |
(2.1) |
(1.8) |
(2.0) |
(1.7) |
4. Trade Credit |
16,841 |
18,613 |
18,980 |
18,692 |
19,094 |
|
(6.5) |
(6.1) |
(5.5) |
(5.9) |
(5.5) |
5. ECBs |
70,726 |
88,565 |
105,210 |
92,675 |
104,841 |
|
(27.1) |
(28.9) |
(30.4) |
(29.3) |
(30.0) |
6. NRI Deposits |
47,890 |
51,682 |
58,608 |
52,898 |
60,874 |
|
(18.4) |
(16.9) |
(17.0) |
(16.7) |
(17.4) |
7. Rupee Debt |
1,658 |
1,601 |
1,354 |
1,567 |
1,219 |
|
(0.6) |
(0.5) |
(0.4) |
(0.5) |
(0.3) |
8. Long-term Debt (1to 7) |
208,606 |
240,941 |
267,482 |
247,742 |
269,093 |
|
(79.9) |
(78.8) |
(77.4) |
(78.3) |
(77.0) |
9. Short-term Debt |
52,329 |
64,990 |
78,179 |
68,474 |
80,450 |
|
(20.1) |
(21.2) |
(22.6) |
(21.7) |
(23.0) |
Total (8+9) |
260,935 |
305,931 |
345,661 |
316,216 |
349,543 |
|
(100.0) |
(100.0) |
(100.0) |
(100.0) |
(100.0) |
P: Provisional. PR: Partially Revised. IMF: International Monetary Fund; ECBs: External Commercial Borrowings; NRI: Non-Resident Indian
Note: Figures in parentheses are percentage to total external debt.
Source: Ministry of Finance, Government of India and Reserve Bank of India. |
ECB disbursements during Q1 of 2012-13
were lower reflecting subdued domestic
economic activity and growing risk aversion
Keeping in view the financing requirements of
Indian companies in manufacturing and infrastructure sector, the repayment of outstanding Rupee loans raised
for capital expenditure or for fresh Rupee capital
expenditure, an ECB with a maximum ceiling of US $ 10 billion was permitted in June 2012. However, the
ECB approvals during Q1 of 2012-13 stood marginally
lower at around US$ 7.6 billion as compared with US $ 8.0 billion in the corresponding period of the previous
year (Table 3). Moreover, the disbursements of ECBs as
per cent to total approvals declined to 69 per cent
during Q1 of 2012-13 from 81.0 per cent in the
corresponding period of the preceding year, mainly
reflecting subdued domestic economic activity and
growing risk aversion due to increased exchange rate
volatility. Lower disbursements, as a result, along with
higher repayments led to marginal decline in outstanding
ECB at the end of Q1 of 2012-13.
Table 3 : External Commercial Borrowings |
(US $ million) |
Year |
Approvals# |
Gross
Disbursement* |
Amortisation* |
Interest* |
Total
Servicing |
1 |
2 |
3 |
4 |
5 (3+4) |
2000-01 |
2,837 |
9,621 |
5,313 |
1,695 |
7,008 |
2001-02 |
2,653 |
2,684 |
4,272 |
1,456 |
5,728 |
2002-03 |
4,235 |
3,505 |
5,206 |
1,167 |
6,373 |
2003-04 |
6,671 |
5,225 |
8,015 |
2,031 |
10,046 |
2004-05 |
11,490 |
9,084 |
3,658 |
959 |
4,617 |
2005-06 |
17,175 |
14,343 |
11,584 |
3,015 |
14,599 |
2006-07 |
25,353 |
20,257 |
3,814 |
2,517 |
6,331 |
2007-08 |
28,900 |
28,700 |
6,060 |
3,652 |
9,712 |
2008-09 |
15,702 |
13,226 |
6,578 |
3,965 |
10,543 |
2009-10 |
20,636 |
13,980 |
11,498 |
3,244 |
14,742 |
2010-11 R |
25,195 |
22,272 |
10,094 |
3,508 |
13,602 |
2011-12 PR |
35,597 |
28,922 |
19,782 |
5,416 |
25,198 |
2011-12 (April-June) PR |
7,980 |
6,451 |
831 |
187 |
1,018 |
2012-13 (April-June)P |
7,581 |
5,214 |
4,371 |
1678 |
6,049 |
P: Preliminary; PR: Partially Revised; * Revised; based on Balance of Payments data.
# : Based on date of agreement of the loan which may differ from the date of granting the loan registration number by the RBI. Ceiling on ECB approvals
is fixed on the basis of the latter, which may either be after or before the date of agreement of the loan. Hence, there may be some difference between
the amount shown under approvals in the table and the amount of ceiling fixed for a particular year.
Note: Debt service payments during 2003-04 and 2005-06 include redemption of RIBs and IMDs, respectively. |
US dollar denominated debt remains the
highest in total external debt
The US Dollar denominated debt continued to be
the largest with a share of 56.3 per cent in the total
external debt as at end-June 2012 followed by Indian
rupee (21.4 per cent), Japanese yen (9.1 per cent), SDR
(8.3 per cent) and Euro (3.3 per cent) (Table 4).
Component of loans accounted for nearly half
of external debt
The instrument-wise classification of India’s
external debt across the borrower category reveals that
the share of loans accounted for 48.7 per cent of total
debt outstanding as at end-June 2012 as compared to
49.0 per cent as at end-March 2012. The share of trade
credit (long-term and short-term) at 20.8 per cent as at end-June 2012 has been higher as compared to 19.5 per
cent as at end-March 2012. The share of currency and
deposits at 17.5 per cent of the total India’s external
debt as at end-June 2012 also witnessed a marginal
increase as against 17.0 per cent as at end-March 2012
(Table 5).
Table 4: Currency Composition of External Debt |
(Percentage share in total external debt) |
Currency |
End-March |
End-June |
2010 |
2011 |
2012 |
2011 |
2012 P |
1 |
2 |
3 |
4 |
5 |
US Dollar |
53.2 |
53.6 |
55.0 |
54.2 |
56.3 |
SDR |
10.7 |
9.7 |
8.7 |
9.5 |
8.3 |
Indian rupee |
18.7 |
19.5 |
21.4 |
19.2 |
21.4 |
Japanese Yen |
11.5 |
11.4 |
9.1 |
11.1 |
9.1 |
Euro |
3.6 |
3.7 |
3.7 |
3.7 |
3.3 |
Pound Sterling |
1.8 |
1.7 |
0.9 |
1.7 |
0.9 |
Others |
0.5 |
0.4 |
1.2 |
0.6 |
0.7 |
Total |
100 |
100 |
100 |
100 |
100 |
P: Preliminary; PR: Partially Revised.
Source: Ministry of Finance, Government of India and Reserve Bank of India. |
Table 5: Instrument-wise Classification of External Debt Outstanding |
(US$ million) |
Borrower |
End-March 2012 |
End-June 2012 |
1 |
2 |
A. Government (1+2+3) |
81,895 |
80,152 |
1. Short-Term |
6,107 |
5,418 |
(i) Money Market Instruments |
6,107 |
5,418 |
2. Long-term {(i)+(ii)+(iii)} |
69,626 |
68,698 |
(i) Bonds and Notes |
5,261 |
5,047 |
(ii) Loans |
62,801 |
62,057 |
(iii) Trade Credit |
1,564 |
1,594 |
3. Other debt liabilities |
6,163 |
6,037 |
(i) IMF |
6,163 |
6,037 |
B. Monetary Authority |
170 |
174 |
1. Short-term |
170 |
174 |
(i) Currency and Deposits |
170 |
174 |
C. Non-Government (1+2) |
263,596 |
269,216 |
1. Short-Term {(i)+(ii)} |
71,902 |
74,858 |
(i) Money Market Instruments |
6,772 |
4,351 |
(ii) Trade Credit |
65,130 |
70,508 |
2. Long-term{(i)+(ii)+(iii)+(iv)} |
191,694 |
194,358 |
(i) Bonds and Notes |
26,045 |
24,649 |
(ii) Loans |
106,418 |
108,199 |
(iii) Currency and Deposits |
58,608 |
60,874 |
(iv) Trade Credits |
623 |
636 |
Total External Debt (A+B+C) |
345,661 |
349,542 |
Source: Ministry of Finance, Government of India and Reserve Bank of
India. |
Short-term debt based on residual maturity
is nearly 43 per cent of total debt and over 50
per cent of foreign exchange reserves
Based on residual maturity, the short-term debt
accounted for 42.9 per cent of total external debt as at end-June 2012. Within the short-term debt, the
share of NRI deposits was the highest at 29 per cent.
With relatively lower accretion to reserves, the ratio
of short-term debt by residual maturity to foreign
exchange reserves rose to 51.8 per cent at end-June
2012 (Table 6).
Share of trade credit in short-term debt rose
as at end-June 2012-13
Short-term debt predominantly comprised of trade
credit and FII investments in Government debt, and
other components include investment by foreign
central banks and international institutions in Treasury
Bills and external liabilities owed to central banks and
commercial banks.
Short-term debt by original maturity has
increased as at end-June 2012 over end-March 2012
on account of increase in trade related credits with
maturity band of six months to one year mainly
reflecting higher availment by oil companies. The
share of short-term trade credit in total short-term
debt was higher at 87.6 per cent as at end-June 2012
as compared with 83.3 per cent as at end-March 2012
(Table 7).
Table 6: Residual Maturity of External Debt Outstanding as at End-June 2012 |
(US $ million) |
Components |
Short-term |
Long-term |
Total |
Up to one year |
1 to 2
years |
2 to 3 years |
More than
3
years |
(1) to (4) |
1 |
2 |
3 |
4 |
5 |
1.
Sovereign Debt (long-term) $ |
4,433 |
4,620 |
4,835 |
60,846 |
74,735 |
2.
External Commercial Borrowings # |
21,804 |
15,877 |
19,430 |
76,372 |
133,484 |
3.
NRI deposits {(i)+(ii)+(iii)} |
43,327 |
5,595 |
4,548 |
7,404 |
60,874 |
(i) FCNR(B) |
11,660 |
1,313 |
799 |
500 |
14,272 |
(ii) NR(E)RA |
23,621 |
3,069 |
3,104 |
5,887 |
35,681 |
(iii) NRO |
8,046 |
1,213 |
645 |
1,017 |
10,921 |
4.
Short-term Debt* (Original maturity) |
80,450 |
0 |
0 |
0 |
80,450 |
Total (1 to 4) |
150,014 |
26,093 |
28,813 |
144,622 |
349,542 |
Memo Items |
|
Short-term debt
(Residual maturity as per cent of total debt ) |
42.9 |
|
|
|
|
Short-term debt (Residual maturity as per cent of Reserves) |
51.8 |
|
|
|
|
$ : Inclusive of FII investment in Government securities amounting to US $ 5,047 million.
# : External Commercial Borrowings are inclusive of trade credit and a portion of non-Government multilateral and bilateral borrowing and therefore
may not tally with the ECB provided in other Tables under original maturity.
* : Also includes short-term component of sovereign debt amounting to US$ 5,362 million.
Note: Residual Maturity of NRI Deposits is estimated on the basis of returns submitted by authorised dealers.
Source: Ministry of Finance, Government of India and Reserve Bank of India. |
Table 7: Short-Term Debt by Original Maturity |
(US $ Million) |
|
End-March |
End-June |
2010 |
2011 |
2012 |
2011 |
2012 |
1 |
2 |
3 |
4 |
5 |
| A. Short-Term Debt |
52,329 |
64,990 |
78,179 |
68,474 |
80,450 |
a) Trade-related Credits |
47,473 |
58,462 |
65,130 |
61,532 |
70,508 |
(i) Above 6 months and upto 1 year |
28,003 |
35,347 |
39,182 |
36,933 |
45,220 |
(ii) Up to 6 months |
19,470 |
23,116 |
25,948 |
24,599 |
25,288 |
b) FII Investments in Government Treasury Bills & other instruments |
3357 |
5,424 |
9,395 |
5901 |
8,268 |
c) Investment in Treasury Bills by foreign central banks and international institutions, etc. |
103 |
50 |
64 |
48 |
56 |
d) External Debt Liabilities of: |
1,396 |
1,053 |
3,590 |
993 |
1,619 |
(i) Central Bank |
695 |
155 |
170 |
133 |
174 |
(ii) Commercial Bank |
701 |
898 |
3420 |
860 |
1445 |
| B. Imports (during the year)* |
300,644 |
381,061 |
499,533 |
417,504 |
495,063 |
C. Trade Credit to Imports (%) |
15.8 |
15.3 |
13.0 |
14.7 |
14.2 |
* : On balance of payment basis.
Source: Ministry of Finance, Government of India and Reserve Bank of India |
Share of Government debt recorded marginal
decline
Government (Sovereign) external debt stood at
US$ 80.1 billion as at end-June 2012 as against US$ 81.9
billion as at end-March 2012. The shares of Government
and non-Government external debt in the total external
debt were 22.9 per cent and 77.1 per cent, respectively,
as at end-June 2012 as compared to 23.7 per cent and
76.3 per cent, respectively, at the end of the preceding
quarter (Table 8).
Servicing of ECBs accounted for 80 per cent
of total debt service payments
Debt service ratio is measured by the proportion
of total debt service payments (i.e., principal repayments plus interest payments) to current receipts (minus
official transfers) on Balance of Payments (BoP) basis.
During Q1 of 2012-13, India’s debt service ratio
improved marginally to 5.9 per cent from 6.0 per cent
during 2011-12 (Table 9). Servicing of External
Commercial Borrowings (including principal and
interest payments) increased to around 80 per cent of
total debt service payments during 2011-12 and Q1 of
2012-13 from an average of about 70 per cent during
the period 2008-09 to 2010-11 indicating growing
recourse to the use of ECBs by the companies to meet
their financing requirements.
Table 8: Government and Non-Government External Debt |
(US $ million) |
Components |
End-March |
End June |
2010 |
2011 |
2012 |
2012 |
|
1 |
2 |
3 |
4 |
A. Sovereign Debt (I+II) |
67,067 |
78,071 |
81,895 |
80,152 |
(As a percentage of GDP) |
4.6 |
4.7 |
4.7 |
- |
I. External Debt on Government Account under External Assistance |
55,235 |
62,295 |
63,374 |
62,750 |
II. Other Government External Debt @ |
11,845 |
15,776 |
18,521 |
17,402 |
B. Non-Government Debt # |
193,868 |
227,859 |
263,766 |
269,390 |
(As a percentage of GDP) |
13.6 |
13.2 |
15.3 |
|
C. Total External Debt (A+B) |
260,935 |
305,931 |
345,661 |
349,543 |
(As a percentage of GDP) |
18.3 |
17.8 |
20.0 |
- |
@ : Other Government external debt includes defence debt, investment in Treasury Bills/ Government securities by FIIs, foreign central banks and
international institutions. # Includes external debt of Monetary Authority.
Source: Ministry of Finance, Government of India and Reserve Bank of India. |
Table 9: India's External Debt Service Payments |
(US $ Million) |
Sr.
No. |
Item |
2008-09 |
2009-10 |
2010-11 |
2011-12 |
April-June
2012 |
1 |
2 |
3 |
4 |
5 |
1 |
External Assistance |
3,384 |
3,461 |
3,667 |
3,923 |
826 |
|
Repayment |
2,375 |
2,585 |
2,839 |
3,125 |
657 |
|
Interest |
1009 |
876 |
828 |
798 |
169 |
2 |
External Commercial Borrowings |
10543 |
14742 |
13602 |
25198 |
6049 |
|
Repayment |
6,578 |
11,498 |
10,094 |
19,782 |
4371 |
|
Interest |
3,965 |
3,244 |
3,508 |
5,416 |
1678 |
3 |
I.M.F. |
0 |
0 |
0 |
0 |
0 |
|
Repayment |
0 |
0 |
0 |
0 |
0 |
|
Interest |
0 |
0 |
0 |
0 |
0 |
4 |
NRI Deposits Interest |
1,547 |
1,599 |
1,737 |
2,313 |
827 |
5 |
Rupee Debt Service Repayments |
101 |
97 |
17 |
79 |
26 |
6 |
Total Debt Service (1 to 5) |
15,575 |
19,899 |
19,075 |
31,513 |
7,728 |
|
Repayment |
9,054 |
14,180 |
13,002 |
22,986 |
5,054 |
|
Interest |
6,521 |
5,719 |
6,073 |
8,527 |
2,674 |
7 |
Current Receipts # |
356,175 |
345,144 |
448,067 |
528,372 |
130,679 |
|
Debt Service Ratio (6/7) (%) |
4.4 |
5.8 |
4.3 |
6.0 |
5.9 |
#: Currents Receipts minus Official Transfers.
Note: Debt Service ratio is defined as total repayments of principal and interest on debt as a ratio of current receipts.
Source: Ministry of Finance. Government of India and Reserve Bank of India. |
Based on outstanding long-term debt, as at end-
June 2012, principal repayments for ECBs including
Foreign Currency Convertible Bonds (FCCBs) are projected to be higher between 2015-16 and 2016-17
though they are expected to come down in the
subsequent years. The projections do not include future
debt service obligations arising out of fresh borrowings
(Table 10).
Key Indicators of India’s External Debt
Among the indicators of external debt considered for assessing vulnerability, while the solvency indicator,
i.e., debt service ratio, showed a shade better during
the first quarter 2012-13 than the Q4 2011-12, the other
solvency indicators, viz., debt-GDP ratio, short-term
debt to foreign exchange reserves and total external
debt showed some deterioration as at end-June 2012
as compared to end-March 2012 (Table 11).
Table 10: Projected Debt Service Payments for
ECBs and FCCBs |
(US$ million) |
Year |
Principal |
Interest |
Total |
1 |
2 |
3 |
2012-13* |
12,644 |
2,331 |
14,975 |
2013-14 |
9,081 |
2,483 |
11,564 |
2014-15 |
11,828 |
2,283 |
14,111 |
2015-16 |
14,416 |
1,956 |
16,372 |
2016-17 |
14,537 |
1,383 |
15,920 |
2017-18 |
9,550 |
836 |
10,386 |
2018-19 |
4,941 |
511 |
5,452 |
2019-20 |
2,690 |
343 |
3,033 |
2020-21 |
2,267 |
233 |
2,500 |
2021-22 |
1,658 |
138 |
1,796 |
2022-23 |
764 |
83 |
847 |
2023-24 |
679 |
55 |
734 |
*: Exclusive Q1 of 2012-13.
Note: Projections on debt servicing are based on the end-March 2012 debt outstanding position. |
Table 11: India’s Key External Debt Indicators |
Year |
External Debt |
Ratio of
External Debt
to GDP |
Debt Service
Ratio |
Ratio of Foreign
Exchange
Reserves
to Total Debt |
Ratio of
Concessional
Debt
to Total
Debt |
Ratio of Short-Term
Debt
to Foreign
Exchange Reserves |
Ratio of Short-
Term
Debt
to Total
Debt |
(US $ billion) |
(per cent) |
(per cent) |
(per cent) |
(per cent) |
(per cent) |
(per cent) |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
1990-91 |
83.8 |
28.7 |
35.3 |
7.0 |
45.9 |
146.5 |
10.2 |
1995-96 |
93.7 |
27.0 |
26.2 |
23.1 |
44.7 |
23.2 |
5.4 |
2000-01 |
101.3 |
22.5 |
16.6 |
41.7 |
35.4 |
8.6 |
3.6 |
2001-02 |
98.8 |
21.1 |
13.7 |
54.7 |
35.9 |
5.1 |
2.8 |
2002-03 |
104.9 |
20.3 |
16.0* |
72.5 |
36.8 |
6.1 |
4.5 |
2003-04 |
112.6 |
18.0 |
16.1** |
100.3 |
35.8 |
3.9 |
3.9 |
2004-05 |
134.0 |
18.1 |
5.9 ^ |
105.6 |
30.7 |
12.5 |
13.2 |
2005-06 |
139.1 |
16.8 |
10.1 # |
109.0 |
28.4 |
12.9 |
14.0 |
2006-07 |
172.4 |
17.5 |
4.7 |
115.6 |
23.0 |
14.1 |
16.3 |
2007-08 |
224.4 |
18.0 |
4.8 |
138.0 |
19.7 |
14.8 |
20.4 |
2008-09 |
224.5 |
20.3 |
4.4 |
112.1 |
18.7 |
17.2 |
19.3 |
2009-10 PR |
260.9 |
18.3 |
5.8 |
106.8 |
16.8 |
18.8 |
20.0 |
2010-11 PR |
305.9 |
17.8 |
4.3 |
99.6 |
15.5 |
21.3 |
21.2 |
2011-12 PR |
345.7 |
20.0 |
6.0 |
85.1 |
13.8 |
26.6 |
22.6 |
End-June 2012P |
349.5 |
21.7 |
5.9 |
82.9 |
13.5 |
27.8 |
23 |
P: Provisional. PR: Partially Revised.
* : Works out to 12.4 per cent, with the exclusion of pre-payment of external debt of US $ 3,430 million.
** : Works out to 8.2 per cent with the exclusion of pre-payment of external debt of US $ 3,797 million and redemption of Resurgent India Bonds (RIBs) of US $
5,549 million.
^ : Works out to 5.7 per cent with the exclusion of pre-payment of external debt of US $ 381 million.
# : Works out to 6.3 per cent with the exclusion of India Millennium Deposits (IMDs) repayments of US $ 7.1 billion and pre-payment of external debt of US $
23.5 million.
Source: Ministry of Finance, Government of India and Reserve Bank of India. |
Section II: External Debt: Cross-Country
Comparison
The international comparison of external debt of
the twenty most indebted countries based on the latest
data available in Global Development Finance Online
Database, World Bank, reveals that China remains at
the top in terms of external debt followed by Russian
Federation, Brazil and Turkey. India was the fifth most
indebted country in 2010, the same as in the previous
year (Table 12).
Table 12: Total External Debt Outstanding |
(US $ billion) |
Country Name |
2005 |
2006 |
2007 |
2008 |
2009 |
2010 |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
China |
283.0 |
322.8 |
373.1 |
379.8 |
432.2 |
548.6 |
Russian Federation |
239.9 |
250.7 |
361.3 |
402.7 |
373.4 |
384.7 |
Brazil |
187.5 |
193.5 |
237.6 |
262.2 |
276.9 |
347.0 |
Turkey |
168.8 |
204.8 |
252.9 |
284.1 |
271.2 |
293.9 |
India |
139.1 |
172.4 |
224.4 |
224.5 |
260.9 |
305.9 |
Mexico |
165.8 |
161.2 |
178.6 |
187.1 |
171.5 |
200.1 |
Indonesia |
134.3 |
125.3 |
133.8 |
147.6 |
162.9 |
179.1 |
Argentina |
124.9 |
115.9 |
117.3 |
118.9 |
120.3 |
127.8 |
Romania |
38.9 |
53.9 |
84.2 |
102.5 |
118.0 |
121.5 |
Kazakhstan |
43.5 |
72.4 |
95.5 |
107.3 |
111.1 |
118.7 |
Ukraine |
32.5 |
51.2 |
77.5 |
96.7 |
103.4 |
116.8 |
Chile |
45.4 |
50.2 |
56.2 |
65.4 |
73.1 |
86.3 |
Malaysia |
51.9 |
54.9 |
61.4 |
66.1 |
66.3 |
81.5 |
Philippines |
61.7 |
60.4 |
66.0 |
65.0 |
63.1 |
72.3 |
Thailand |
46.4 |
45.9 |
45.3 |
49.8 |
57.9 |
71.3 |
Colombia |
37.7 |
38.0 |
43.7 |
46.4 |
52.1 |
63.1 |
Pakistan |
33.6 |
36.7 |
41.5 |
49.1 |
54.6 |
56.8 |
Venezuela, RB |
44.9 |
43.7 |
48.3 |
52.8 |
55.2 |
55.6 |
Bulgaria |
15.7 |
21.0 |
33.0 |
48.6 |
53.5 |
48.1 |
South Africa |
31.1 |
35.5 |
43.6 |
42.6 |
42.5 |
45.2 |
Note: The source for India is Government of India and Reserve Bank of
India. Therefore, the data for India pertain to financial year (April-
March) and not calendar year.
Sources: Global Development Finance Online Database, World Bank,
Ministry |
India’s debt indicators compare favourably
with those of Top 20 indebted countries
In terms of concessional debt, India stands at the
fourth highest position after Pakistan, Indonesia and
Philippines. In debt service ratio it was the fifth lowest
after China, Thailand, South Africa and Malaysia. In
terms of ratio of external debt to Gross National Income
(GNI), India’s position was fourth lowest, with China
having the lowest ratio of external debt. In terms of
short-term debt to total external debt, India’s position
was seventh lowest. Similarly, in terms of short-term
debt to total reserves, India’s position was fifth lowest as Russian Federation, Philippines, China, and Pakistan
had higher reserves to debt ratio than India (Table 13).
Instrument-wise, debt position of select countries
indicates that the share of trade credit in total external
debt was the highest for India; the share of debt as
Russian Federation, Phillippines, China, and Packistan
has lower reserves to debt ratio than India. Instrumentwise
external debt indicate that debt securities was
relatively lower in case of India compared to major
EMEs (Table 13 and Table 14).
Table 13: International Comparison of Top Twenty Debtor Countries, 2010 |
Country Name |
Total External
Debt
(US $ billion) |
Concessional
Debt/ Total
External Debt
(per cent) |
Debt
Service Ratio
(per cent) |
External
Debt Stock/GNI (per cent) |
Short-term Debt/Total External Debt
(per cent) |
Short-term Debt/Total Reserves
(per cent) |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
Argentina |
127.8 |
2.0 |
16.7 |
36.1 |
27.4 |
67.1 |
Brazil |
347.0 |
3.3 |
19.0 |
16.9 |
18.9 |
22.7 |
Bulgaria |
48.1 |
1.9 |
14.2 |
104.8 |
32.0 |
89.3 |
Chile |
86.3 |
0.3 |
15.2 |
45.9 |
30.0 |
93.0 |
China |
548.6 |
7.3 |
3.3 |
9.3 |
63.4 |
11.9 |
Colombia |
63.1 |
1.9 |
21.0 |
22.8 |
13.0 |
29.2 |
India |
305.9 |
15.5 |
4.3 |
17.8 |
21.2 |
21.3 |
Indonesia |
179.1 |
25.6 |
16.6 |
26.1 |
17.5 |
32.5 |
Kazakhstan |
118.7 |
1.0 |
71.4 |
94.3 |
7.6 |
32.0 |
Malaysia |
81.5 |
4.3 |
5.2 |
35.4 |
43.0 |
32.9 |
Mexico |
200.1 |
1.2 |
9.8 |
19.5 |
19.5 |
32.4 |
Pakistan |
56.8 |
59.1 |
15.2 |
31.3 |
4.0 |
13.3 |
Philippines |
72.3 |
21.6 |
18.4 |
36.2 |
8.7 |
10.1 |
Romania |
121.5 |
5.8 |
31.2 |
76.4 |
20.6 |
52.1 |
Russian Federation |
384.7 |
0.5 |
12.8 |
26.9 |
10.1 |
8.1 |
South Africa |
45.2 |
0.0 |
4.9 |
12.7 |
27.2 |
28.1 |
Thailand |
71.3 |
9.4 |
4.8 |
23.4 |
54.0 |
22.4 |
Turkey |
293.9 |
3.3 |
36.7 |
40.4 |
26.6 |
90.9 |
Ukraine |
116.8 |
1.1 |
40.7 |
85.9 |
22.7 |
76.5 |
Venezuela, RB |
55.6 |
2.9 |
8.8 |
14.3 |
27.8 |
52.0 |
Source: Data for India as published by national authorities for 2010-11 and those for other countries as at end-December 2010 as available in World
Bank’s Global Development Finance Online Database. |
The sector-wise debt position of select countries
reveals that the share of Government debt at about
one-fourth of total external was relatively higher
compared to other EMEs like Brazil, Kazakhstan,
Romania and Russian Federation; while the share of
banks in total external debt at about 18 per cent was
lower for India compared to most of these EMEs
(Table 15).
The concessional debt as a percentage of total debt
has declined over the years as a result of growing importance of external borrowings from private sources
at commercial terms (Table 16).
The debt to national income ratio provides some
indication of burden of servicing external debt. Among
the top 20 debtor countries, India ranked fourth lowest
in terms of the ratio of external debt to National Income
(Table 17).
Table 14: Gross External Debt Position by Instrument |
US $ billion |
2011Q4 |
Countries |
Debt Securities |
Loans |
Currency and
Deposits |
Trade Credits |
Other
Liabilities |
Direct Investment
Intercompany
Lending |
Total |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
Argentina |
49.2 |
36.8 |
0.5 |
12.9 |
17.5 |
24.0 |
141.0 |
Brazil |
111.6 |
144.6 |
0.6 |
33.1 |
8.3 |
105.9 |
404.1 |
India |
37.7 |
168.6 |
52.6 |
66.6 |
6.1 |
0.0 |
331.6 |
Indonesia |
65.2 |
140.5 |
7.1 |
6.4 |
6.2 |
0.0 |
225.4 |
Kazakhstan |
17.7 |
35.7 |
1.1 |
8.7 |
0.8 |
59.9 |
123.8 |
Mexico |
175.6 |
81.0 |
5.0 |
16.7 |
7.8 |
0.0 |
286.1 |
Poland |
100.7 |
95.4 |
32.5 |
16.1 |
4.7 |
75.1 |
324.5 |
Romania |
8.6 |
73.2 |
18.5 |
2.8 |
2.0 |
23.9 |
128.9 |
Russian Federation |
44.8 |
241.5 |
157.3 |
2.4 |
14.1 |
85.3 |
545.4 |
Turkey |
50.5 |
185.2 |
38.0 |
25.7 |
1.5 |
5.5 |
306.4 |
2012Q1 |
Argentina |
50.8 |
35.9 |
0.4 |
13.1 |
17.6 |
24.0 |
141.8 |
Brazil |
115.9 |
143.0 |
0.8 |
33.8 |
7.7 |
113.2 |
414.4 |
India |
41.3 |
172.7 |
58.8 |
66.7 |
6.2 |
0.0 |
345.7 |
Indonesia |
66.7 |
141.7 |
6.9 |
5.9 |
7.3 |
0.0 |
228.5 |
Kazakhstan |
19.0 |
36.0 |
1.2 |
8.7 |
0.9 |
63.4 |
129.3 |
Mexico |
203.7 |
76.9 |
2.9 |
17.7 |
7.3 |
0.0 |
308.5 |
Poland |
114.0 |
99.3 |
33.8 |
16.7 |
5.0 |
81.6 |
350.4 |
Romania |
10.8 |
74.8 |
18.3 |
2.7 |
2.1 |
24.7 |
133.4 |
Russian Federation |
50.8 |
248.7 |
158.6 |
2.9 |
15.3 |
89.2 |
565.5 |
Turkey |
53.8 |
188.1 |
43.3 |
25.7 |
1.5 |
5.8 |
318.2 |
- : Nil/Negligible.
Note: Data in respect of India is partially revised.
Source: Quarterly External Debt Statistics. The World Bank and IMF. |
Solvency indicators compare well with those
top 20 indebted countries
The ratio of debt-service payments to exports of
goods and services is a key solvency indicator that
gauges the extent to which the export revenue is used
in servicing its debt. Higher the ratio, more vulnerable
is the economy. During 2010, the ratio was placed at
5.6 per cent, the fifth lowest among top 20 debtor
countries of the world. The Latin American countries
and some the CIS nations continue to have high debt service
ratios, reflecting heavy burden of amortisation
and interest payments. Similarly, other solvency
parameters such as the ratio of short-term debt to total
external debt and the ratio of short-term debt to international reserves in case of India continued to be
at moderate level as compared with the top 20 debtor
countries of the world (Table 18).
The Quarterly External Debt Statistics (QEDS),
jointly developed by the World Bank and the
International Monetary Fund, brings out detailed
external debt data of countries that are subscribing to
IMF’s Special Data Dissemination Standard/General
Data Dissemination System. The position in respect of
the 69 reporting countries for the fourth quarter of
2011, and the first quarter of 2012 which has been
released by the World Bank is given at Annex I.
European Banks Exposure to India
The debt crisis in the euro zone has raised
concerns about the continuous flow of funds to India.
According to the Bank of International Settlements,
consolidated foreign claims on India were estimated at
$ 311.6 billion on immediate borrower basis as at end- June 2012; of which European banks accounted for
$132.2 billion. The amount others owed to India on an
ultimate risk basis was $ 43.6 billion of which European
entities excluding UK accounted for $ 6.6 billion.
Section III: External Debt Management in
India and Recent Policy Measures
The external debt policy of India continues to
focus on raising sovereign loans on concessional terms
with longer maturities, regulating the levels of ECB and
their end-use, rationalising the interest rates on Non-
Resident Indian (NRI) deposits, and monitoring short-term
debt. In terms of hierarchy, long-term flows are
preferable to short-term. ECB flows under both the
automatic and approval routes are moderated by
interest rate ceilings and those under the automatic
route are governed by an indicative ceiling on total
quantity as well. There is also a limit on FII investment
in debt securities comprising of government securities and corporate bonds. Amidst subdued FII equity flows,
policy measures were undertaken to improve capital
inflows particularly debt flows for smooth financing of
the current account deficit.
Table 15: Gross External Debt Position by Sector (USD billion) |
Countries |
General Government |
Monetary Authorities |
Banks |
Other Sectors |
Direct Investment Intercompany |
2011Q4 |
1 |
2 |
3 |
4 |
5 |
6 |
Argentina |
68.2 |
5.0 |
3.9 |
39.8 |
24.0 |
Brazil |
57.8 |
4.4 |
138.2 |
97.7 |
105.9 |
India |
81.2 |
0.1 |
57.9 |
192.1 |
.. |
Indonesia |
112.4 |
6.2 |
18.5 |
88.3 |
.. |
Kazakhstan |
4.5 |
0.6 |
14.6 |
44.3 |
59.9 |
Mexico |
127.4 |
4.9 |
22.0 |
131.8 |
.. |
Poland |
115.7 |
5.0 |
66.4 |
62.2 |
75.1 |
Romania |
28.8 |
14.8 |
29.4 |
32.0 |
23.9 |
Russian Federation |
34.7 |
11.2 |
162.2 |
251.9 |
85.3 |
Turkey |
82.9 |
9.7 |
90.1 |
118.2 |
5.5 |
2012 Q1 |
Argentina |
69.7 |
4.0 |
3.7 |
40.3 |
24.0 |
Brazil |
58.7 |
4.5 |
138.0 |
100.0 |
113.2 |
India |
81.9 |
0.2 |
65.3 |
198.5 |
.. |
Indonesia |
112.5 |
5.9 |
19.2 |
90.9 |
.. |
Kazakhstan |
4.6 |
0.7 |
14.8 |
45.8 |
63.4 |
Mexico |
150.2 |
4.7 |
18.4 |
135.1 |
.. |
Poland |
129.8 |
6.7 |
66.9 |
65.3 |
81.6 |
Romania |
31.9 |
14.9 |
29.5 |
32.4 |
24.7 |
Russian Federation |
36.3 |
11.5 |
168.4 |
260.0 |
89.2 |
Turkey |
85.5 |
9.7 |
95.8 |
121.5 |
5.8 |
.. Not available.
Note: Data in respect of India is partially revised.
Source: Quarterly External Debt Statistics. World Bank & IMF |
Recent Policy Developments
External Commercial Borrowings
Taking into account the financing requirements
of the corporate sector and prevailing liquidity
conditions in the domestic and international financial
markets, the Ministry of Finance, Government of India,
in consultation with the Reserve Bank of India,
regularly reviews the policy stance on External
Commercial Borrowings (ECBs) and trade credits and
introduce various policy measures that are consistent
with the debt management objectives. The principal
elements of policy for ECBs include keeping the
maturities long, costs low and encouraging investments in infrastructure and export sectors. ECB by corporates
are permitted through automatic route and approval
routes. Proposals that meet minimum criterion are
permitted under the automatic route and other cases
fall under the approval route are considered by an
empowered Committee of the Reserve Bank.
June 2012
Indian companies in manufacturing and
infrastructure sector and having foreign exchange
earnings have been allowed to avail of ECB for
repayment of outstanding Rupee loans towards capital
expenditure and/or fresh Rupee capital expenditure
under the approval route with an overall ceiling for
such ECBs placed at US $ 10 billion.
September 2012
It was decided to allow companies in the
infrastructure sector, where ‘infrastructure’ is as
defined under the extant guidelines on ECB to avail of trade credit up to a maximum period of five years for
import of capital goods.
The rate of withholding tax on interest payments
on external commercial borrowings was reduced from
20 per cent to 5 per cent which is applicable for three
years, i.e., July 1, 2012 to June 30, 2015. This is expected
to reduce the cost of ECB borrowing by companies.
Table 16: Nature of Indebtedness of Top Twenty Countries |
(Per cent) |
Country Name |
Concessional debt to Total external debt |
PPG@ to Total external debt |
2006 |
2007 |
2008 |
2009 |
2010 |
2006 |
2007 |
2008 |
2009 |
2010 |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
9 |
10 |
11 |
Argentina |
1.3 |
1.4 |
1.7 |
2.0 |
2.0 |
1.8 |
1.9 |
1.3 |
1.7 |
2.0 |
Brazil |
1.4 |
1.1 |
1.4 |
2.4 |
3.3 |
3.0 |
1.6 |
1.4 |
0.9 |
0.7 |
Bulgaria |
3.7 |
2.6 |
2.0 |
1.8 |
1.9 |
2.7 |
1.8 |
2.3 |
1.0 |
0.9 |
Chile |
0.5 |
0.4 |
0.3 |
0.3 |
0.3 |
1.1 |
0.9 |
1.3 |
1.6 |
0.4 |
China |
10.6 |
10.1 |
10.8 |
10.0 |
7.3 |
0.3 |
0.2 |
0.2 |
0.2 |
0.2 |
Colombia |
2.7 |
2.2 |
2.1 |
2.0 |
1.9 |
3.5 |
2.4 |
1.8 |
1.7 |
1.6 |
India |
28.4 |
23.0 |
19.7 |
18.7 |
16.8 |
0.6 |
0.8 |
1.2 |
0.5 |
0.4 |
Indonesia |
29.5 |
28.6 |
29.3 |
26.8 |
25.6 |
2.6 |
2.6 |
1.9 |
1.9 |
1.3 |
Kazakhstan |
1.3 |
1.0 |
1.1 |
1.0 |
1.0 |
0.5 |
0.8 |
0.2 |
0.2 |
0.3 |
Malaysia |
9.0 |
5.3 |
6.5 |
5.6 |
4.3 |
2.4 |
2.6 |
1.2 |
3.3 |
1.2 |
Mexico |
0.9 |
0.6 |
0.5 |
0.8 |
1.2 |
4.1 |
2.0 |
1.8 |
1.9 |
1.8 |
Pakistan |
70.4 |
68.3 |
62.0 |
58.8 |
59.1 |
1.4 |
1.4 |
1.3 |
1.5 |
1.6 |
Philippines |
20.6 |
20.0 |
23.1 |
22.9 |
21.6 |
7.0 |
3.4 |
3.7 |
4.0 |
4.9 |
Romania |
2.1 |
1.6 |
1.6 |
3.5 |
5.8 |
1.8 |
1.3 |
1.7 |
1.3 |
1.7 |
Russian Federation |
0.9 |
0.6 |
0.5 |
0.5 |
0.5 |
3.9 |
1.2 |
1.8 |
1.8 |
1.7 |
South Africa |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
1.0 |
1.0 |
0.9 |
0.8 |
0.6 |
Thailand |
14.1 |
13.5 |
13.6 |
10.9 |
9.4 |
1.7 |
1.0 |
1.1 |
0.6 |
0.5 |
Turkey |
2.1 |
2.4 |
2.6 |
3.2 |
3.3 |
2.0 |
1.9 |
1.8 |
1.9 |
1.5 |
Ukraine |
3.5 |
2.1 |
1.5 |
1.3 |
1.1 |
1.7 |
1.3 |
0.7 |
2.3 |
1.2 |
Venezuela, RB |
0.9 |
0.9 |
0.8 |
1.8 |
2.9 |
4.6 |
1.9 |
1.6 |
1.0 |
1.3 |
@ Public and Publicly Guaranteed Debt.
Note: The source data for India is Government of India and Reserve Bank of India.
Therefore, the data for India pertain to financial year (April-March) and not calendar year.
Source: Global Development Finance Online Database, World Bank, Ministry of Finance, Government of India and Reserve Bank of India. |
Foreign Institutional Investors
The recent policy measures pertaining to foreign
institutional investors (FIIs) having a bearing on capital
inflows are detailed below.
June 2012
The limit for investment by FIIs in Government
securities was increased by an additional amount of
US$ 5 billion to US$ 20 billion. In order to broad base
the non-resident investor base for government
securities, long term investors like Sovereign Wealth
Funds (SWFs), multilateral agencies, endowment funds,
insurance funds, pension funds and foreign central banks were allowed to invest in government securities
for the entire limit of US$ 20 billion. With this the total
FII investment in debt securities comprising government
and corporate bonds now stands at US$ 65 billion.
The terms and conditions for the scheme for FII
investment in infrastructure debt and the scheme for
non-resident investment in Infrastructure Development
Funds (IDFs) were further rationalised in terms of lockin
period and residual maturity. Further, Qualified
Foreign Investors (QFIs) can invest in those mutual
fund (MF) schemes that hold at least 25 per cent of
their assets (either in debt or in equity or both) in
infrastructure sector under the current US$ 3 billion
sub-limit for investment in mutual funds related to
infrastructure.
Table 17: Debt to Current Receipts and National Income Ratio |
(Per cent) |
Country Name |
External debt stocks
( per cent of GNI) |
External Debt Stocks
( per cent of Current Receipts) @ |
2006 |
2007 |
2008 |
2009 |
2010 |
2006 |
2007 |
2008 |
2009 |
2010 |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
9 |
10 |
11 |
Argentina |
55.5 |
45.9 |
37.2 |
40.4 |
36.1 |
192.3 |
160.8 |
135.4 |
171.2 |
152.1 |
Brazil |
18.2 |
17.8 |
16.2 |
17.7 |
16.9 |
118.2 |
121.2 |
108.8 |
146.1 |
143.9 |
Bulgaria |
64.9 |
84.8 |
98.7 |
114.1 |
104.8 |
95.5 |
119.9 |
152.2 |
219.3 |
169.5 |
Chile |
39.1 |
38.6 |
41.5 |
49.0 |
45.9 |
71.8 |
67.5 |
78.8 |
107.6 |
98.3 |
China |
11.8 |
10.6 |
8.3 |
8.6 |
9.3 |
28.9 |
26.2 |
22.6 |
30.0 |
28.9 |
Colombia |
24.3 |
21.9 |
19.8 |
23.0 |
22.8 |
126.5 |
121.2 |
104.5 |
131.9 |
135.4 |
India |
16.8 |
16.4 |
18.7 |
18.2 |
16.9 |
78.6 |
80.1 |
70.3 |
90.9 |
80.9 |
Indonesia |
35.9 |
32.3 |
30.0 |
31.3 |
26.1 |
106.6 |
99.9 |
93.2 |
120.9 |
101.3 |
Kazakhstan |
101.3 |
104.1 |
94.2 |
108.4 |
94.3 |
168.4 |
172.5 |
134.7 |
219.3 |
177.4 |
Malaysia |
36.2 |
33.6 |
30.8 |
35.1 |
35.4 |
28.7 |
28.3 |
27.3 |
33.5 |
32.1 |
Mexico |
17.3 |
17.6 |
17.3 |
19.8 |
19.5 |
59.2 |
60.1 |
59.0 |
68.7 |
62.7 |
Pakistan |
28.2 |
28.5 |
29.3 |
32.8 |
31.3 |
171.4 |
178.2 |
183.3 |
238.0 |
198.8 |
Philippines |
49.9 |
44.5 |
37.4 |
37.5 |
36.2 |
105.3 |
102.2 |
101.6 |
116.2 |
103.3 |
Romania |
45.0 |
49.8 |
51.4 |
71.9 |
76.4 |
129.8 |
157.9 |
155.4 |
226.2 |
204.7 |
Russian Federation |
26.1 |
28.5 |
25.0 |
31.6 |
26.9 |
68.8 |
81.9 |
68.9 |
98.7 |
79.8 |
South Africa |
13.9 |
15.8 |
16.0 |
15.4 |
12.7 |
42.2 |
44.9 |
40.6 |
51.4 |
43.3 |
Thailand |
23.1 |
19.0 |
19.0 |
22.8 |
23.4 |
29.2 |
24.0 |
23.0 |
31.0 |
30.5 |
Turkey |
39.1 |
39.5 |
39.3 |
44.7 |
40.4 |
165.6 |
167.7 |
155.3 |
182.7 |
184.0 |
Ukraine |
48.3 |
55.1 |
54.1 |
90.1 |
85.9 |
99.3 |
114.5 |
106.2 |
175.7 |
157.9 |
Venezuela, RB |
24.0 |
21.1 |
16.9 |
17.1 |
14.3 |
58.1 |
59.7 |
50.1 |
89.2 |
80.0 |
@ Current receipts include exports of goods and services (including workers’ remittances).
Note: In this Table, the source of data for India is Government of India and Reserve Bank of India. Therefore, the data for India since 1990 onwards
pertain to financial year (April-March) and not calendar year. Figures pertain to external debt to GDP ratio.
Source: Global Development Finance, World Bank, Ministry of Finance, Government of India and Reserve Bank of India. |
Non-Resident Indian Deposits
With a view to providing greater flexibility to
banks in mobilising non-resident deposits and also in
view of the prevailing market conditions, interest rates on Non-Resident (External) Rupee (NRE) Deposits and
Ordinary Non-Resident (NRO) Accounts were
deregulated in December 2011. Accordingly, banks are
free to determine their interest rates on both savings
deposits and term deposits of maturity of one year and
above under Non-Resident (External) Rupee (NRE)
Deposits and savings deposits under Ordinary Non-
Resident (NRO) Accounts. However, interest rates
offered by banks on NRE and NRO deposits cannot be
higher than those offered by them on comparable
domestic rupee deposits. The revised deposit rates are
applicable to fresh deposits and on renewal of maturing
deposits.
May 2012
During May 2012, policy measures were taken in
respect of Foreign Currency Non-Resident [FCNR (B)]
deposits and export credit in foreign currency to
improve the flow of foreign currency. Interest rate
ceiling on FCNR (B) deposits of banks was raised from 125 basis points (bps) above the corresponding LIBOR/
Swap rates to 200 bps for maturity period of 1 year to
less than 3 years, and to 300 bps for maturity period of
3 to 5 years.
Export Credit
The ceiling rate on export credit in foreign
currency which was constraining the availability of
credit to exporters in foreign currency was deregulated
by allowing banks to freely determine their interest
rates on such credit.
Table 18: Solvency Indicators – Debt and Interest Service Ratio |
(Per cent) |
Country |
Debt Service Ratio |
Interest Service Ratio |
2006 |
2007 |
2008 |
2009 |
2010 |
2006 |
2007 |
2008 |
2009 |
2010 |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
9 |
10 |
11 |
Argentina |
36.2 |
12.3 |
8.8 |
17.3 |
16.7 |
6.6 |
5.2 |
3.5 |
4.8 |
4.3 |
Brazil |
38.0 |
28.0 |
23.4 |
23.5 |
19.0 |
9.0 |
7.4 |
6.7 |
7.5 |
5.7 |
Bulgaria |
12.4 |
15.3 |
16.8 |
21.4 |
14.2 |
3.4 |
4.2 |
5.0 |
6.2 |
2.2 |
Chile |
20.8 |
14.3 |
19.5 |
25.6 |
15.2 |
2.9 |
2.6 |
2.3 |
2.7 |
2.7 |
China |
2.5 |
2.2 |
2.0 |
2.8 |
3.3 |
0.8 |
0.8 |
0.6 |
0.4 |
1.8 |
Colombia |
34.4 |
23.9 |
17.8 |
22.3 |
21.0 |
8.6 |
8.3 |
6.8 |
7.4 |
6.9 |
India |
4.7 |
4.8 |
4.4 |
5.8 |
4.3 |
2.3 |
2.1 |
1.8 |
1.7 |
1.4 |
Indonesia |
24.0 |
17.9 |
13.5 |
18.5 |
16.6 |
3.2 |
3.8 |
2.9 |
3.3 |
3.0 |
Kazakhstan |
33.7 |
49.1 |
42.0 |
50.9 |
71.4 |
5.4 |
6.5 |
5.5 |
11.2 |
7.4 |
Malaysia |
4.0 |
4.8 |
3.6 |
6.1 |
5.2 |
1.2 |
1.2 |
1.0 |
1.1 |
0.8 |
Mexico |
19.7 |
12.3 |
10.4 |
12.3 |
9.8 |
4.2 |
4.1 |
3.0 |
3.4 |
3.0 |
Pakistan |
10.8 |
11.3 |
11.3 |
15.2 |
15.2 |
4.0 |
4.8 |
4.0 |
4.5 |
3.7 |
Philippines |
23.9 |
15.7 |
19.1 |
18.2 |
18.4 |
6.8 |
5.9 |
6.2 |
6.4 |
4.8 |
Romania |
20.8 |
21.7 |
27.5 |
31.2 |
31.2 |
5.2 |
6.1 |
5.6 |
6.1 |
4.7 |
Russian Federation |
13.8 |
9.1 |
11.5 |
15.1 |
12.8 |
3.5 |
3.7 |
3.9 |
4.8 |
3.7 |
South Africa |
6.5 |
5.4 |
4.3 |
4.5 |
4.9 |
1.9 |
2.0 |
1.7 |
2.0 |
2.4 |
Thailand |
9.4 |
11.8 |
7.8 |
6.7 |
4.8 |
1.2 |
0.9 |
0.8 |
0.8 |
0.7 |
Turkey |
32.9 |
32.4 |
30.3 |
41.9 |
36.7 |
7.9 |
8.0 |
7.4 |
8.2 |
7.2 |
Ukraine |
18.0 |
17.6 |
19.7 |
38.8 |
40.7 |
4.3 |
4.6 |
4.1 |
7.8 |
6.0 |
Venezuela, RB |
13.1 |
7.3 |
5.8 |
6.4 |
8.8 |
4.4 |
4.4 |
3.2 |
5.1 |
5.0 |
.. Not available.
Note: The source data for India is Government of India and Reserve Bank of India. Therefore, the data for India pertain to financial year (April-March) and not calendar year.
Source: Global Development Finance Online Database, World Bank, Ministry of Finance, Government of India and Reserve Bank of India. |
Section IV: Conclusion
There was a moderate increase in external debt
during Q1 of 2012-13 largely due to valuation gains
emanating from appreciation of US dollar against Indian
rupee and other international currencies. The increase
in external debt during this period was primarily on
account of rise in Non-resident external Rupee
denominated ((NR (E) RA) deposits and increase in
short-term trade credit. The disbursements of external commercial borrowings turned out to be lower during
Q1 of 2012-13 than the corresponding period of
previous year due to risk aversion. With regard to
currency composition of debt, the US dollar denominated
debt continued to the highest constituting more than
fifty per cent of total external debt. India fares better
in terms of various indicators vis-à-vis top twenty
indebted countries. The key indicators suggest that though the external debt is within in manageable level,
there was some deterioration during the first quarter
in terms of solvency indicators such as short-term debt
to total debt and reserves to total debt warranting close
monitoring of external debt. The trends also underscore
the need to renew focus on equity flows for financing
of current account deficit from the point of view of debt
sustainability in the medium term.
Annex I: Gross External Debt of QUEDS reporting countries for End-December 2011 and
End-March 2012 - Original Maturity |
(US $ billion) |
Countries |
2011Q4 |
2012Q1 |
Short-term |
Long-term |
Total |
Short-term |
Long-term |
Total |
1 |
Argentina |
41.4 |
99.6 |
141.0 |
40.4 |
101.4 |
141.8 |
2 |
Armenia |
0.9 |
6.5 |
7.4 |
0.7 |
6.7 |
7.3 |
3 |
Australia |
339.9 |
949.0 |
1,289.0 |
342.1 |
996.2 |
1,338.3 |
4 |
Austria |
216.5 |
570.4 |
786.8 |
233.1 |
587.6 |
820.7 |
5 |
Belarus |
13.4 |
20.6 |
34.0 |
12.9 |
20.8 |
33.7 |
6 |
Belgium |
720.7 |
682.7 |
1,403.5 |
690.6 |
726.9 |
1,417.5 |
7 |
Brazil |
40.1 |
364.0 |
404.1 |
34.2 |
380.2 |
414.4 |
8 |
Bulgaria |
12.9 |
33.8 |
46.7 |
13.3 |
35.4 |
48.7 |
9 |
Canada |
399.8 |
796.2 |
1,196.0 |
393.6 |
819.2 |
1,212.8 |
10 |
Chile |
17.2 |
81.4 |
98.6 |
17.8 |
82.1 |
99.9 |
11 |
Colombia |
10.8 |
65.1 |
75.9 |
10.1 |
66.8 |
76.9 |
12 |
Costa Rica |
2.9 |
7.9 |
10.8 |
2.9 |
8.0 |
10.9 |
13 |
Croatia |
6.7 |
52.9 |
59.6 |
7.1 |
54.6 |
61.7 |
14 |
Czech Republic |
28.0 |
65.9 |
93.9 |
30.3 |
72.6 |
102.9 |
15 |
Denmark |
250.8 |
317.8 |
568.6 |
265.9 |
328.7 |
594.6 |
16 |
Ecuador |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
17 |
Egypt |
3.0 |
30.7 |
33.7 |
3.0 |
30.5 |
33.4 |
18 |
El Salvador |
1.2 |
10.9 |
12.2 |
1.2 |
11.0 |
12.2 |
19 |
Estonia |
8.4 |
11.8 |
20.2 |
8.8 |
12.4 |
21.2 |
20 |
Finland |
252.3 |
283.5 |
535.8 |
275.7 |
307.3 |
583.0 |
21 |
France |
1,873.2 |
3,130.6 |
5,003.8 |
1,877.7 |
3,323.9 |
5,201.6 |
22 |
Georgia |
1.6 |
9.6 |
11.3 |
1.7 |
9.7 |
11.4 |
23 |
Germany |
1,793.5 |
3,534.2 |
5,327.7 |
2,103.8 |
3,676.8 |
5,780.6 |
24 |
Greece |
234.9 |
241.6 |
476.5 |
245.7 |
272.8 |
518.4 |
25 |
Hong Kong, China |
713.1 |
203.6 |
916.6 |
740.7 |
216.4 |
957.1 |
26 |
Hungary |
31.5 |
174.9 |
206.4 |
30.3 |
180.3 |
210.6 |
27 |
Iceland |
66.2 |
44.6 |
110.8 |
0.0 |
0.0 |
0.0 |
28 |
India |
76.0 |
255.4 |
331.4 |
78.2 |
267.6 |
345.8 |
29 |
Indonesia |
38.2 |
187.2 |
225.4 |
37.4 |
191.1 |
228.5 |
30 |
Ireland |
619.7 |
1,593.5 |
2,213.2 |
579.8 |
1,634.3 |
2,214.1 |
31 |
Israel |
45.6 |
58.4 |
103.9 |
42.0 |
58.1 |
100.1 |
32 |
Italy |
689.9 |
1,646.1 |
2,336.0 |
798.4 |
1,703.3 |
2,501.7 |
33 |
Japan |
2,272.7 |
842.5 |
3,115.2 |
2,284.2 |
778.2 |
3,062.3 |
34 |
Jordan |
9.9 |
7.3 |
17.2 |
9.8 |
7.5 |
17.3 |
35 |
Kazakhstan |
8.9 |
114.9 |
123.8 |
8.9 |
120.4 |
129.3 |
36 |
Korea |
136.1 |
262.2 |
398.4 |
136.3 |
275.1 |
411.4 |
37 |
Kyrgyz Republic |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
38 |
Latvia |
12.0 |
26.0 |
38.0 |
12.8 |
27.1 |
39.9 |
39 |
Lithuania |
5.2 |
26.9 |
32.1 |
5.3 |
30.3 |
35.6 |
40 |
Luxembourg |
1,152.0 |
904.9 |
2,056.9 |
1,212.7 |
973.6 |
2,186.2 |
41 |
Macedonia |
1.7 |
4.6 |
6.3 |
1.8 |
4.8 |
6.6 |
42 |
Malaysia |
43.7 |
48.0 |
91.7 |
45.3 |
47.9 |
93.2 |
43 |
Malta |
31.3 |
12.3 |
43.5 |
32.5 |
13.0 |
45.5 |
44 |
Mexico |
51.3 |
234.7 |
286.1 |
59.3 |
249.2 |
308.5 |
45 |
Moldova |
1.9 |
3.6 |
5.5 |
1.9 |
3.7 |
5.7 |
46 |
Morocco |
3.8 |
25.7 |
29.6 |
4.3 |
26.4 |
30.7 |
47 |
Netherlands |
1,009.7 |
1,442.8 |
2,452.5 |
1,081.3 |
1,466.8 |
2,548.0 |
48 |
Norway |
242.3 |
344.0 |
586.3 |
273.0 |
369.4 |
642.4 |
Annex I: Gross External Debt of QUEDS reporting countries for End-December 2011 and
End-March 2012 - Original Maturity (Concld.) |
(US $ billion) |
Countries |
2011Q4 |
2012Q1 |
Short-term |
Long-term |
Total |
Short-term |
Long-term |
Total |
49 |
Peru |
6.3 |
37.2 |
43.5 |
7.1 |
39.6 |
46.7 |
50 |
Philippines |
7.0 |
54.7 |
61.7 |
7.4 |
55.5 |
62.9 |
51 |
Poland |
45.5 |
279.0 |
324.5 |
46.8 |
303.7 |
350.4 |
52 |
Portugal |
191.3 |
289.4 |
480.7 |
213.2 |
293.4 |
506.7 |
53 |
Romania |
20.2 |
108.7 |
128.9 |
20.1 |
113.3 |
133.4 |
54 |
Russian Federation |
69.9 |
475.5 |
545.4 |
72.1 |
493.3 |
565.5 |
55 |
Singapore |
888.5 |
197.0 |
1,085.4 |
905.0 |
200.7 |
1,105.7 |
56 |
Slovak Republic |
29.7 |
39.0 |
68.6 |
28.6 |
42.0 |
70.6 |
57 |
Slovenia |
11.0 |
42.8 |
53.8 |
15.4 |
41.1 |
56.5 |
58 |
South Africa |
18.9 |
92.6 |
111.5 |
21.8 |
96.7 |
118.5 |
59 |
Spain |
780.1 |
1,493.7 |
2,273.8 |
869.2 |
1,508.1 |
2,377.3 |
60 |
Sweden |
319.0 |
670.6 |
989.6 |
326.9 |
706.5 |
1,033.4 |
61 |
Switzerland |
805.1 |
465.1 |
1,270.1 |
842.0 |
494.7 |
1,336.7 |
62 |
Thailand |
45.0 |
61.0 |
106.0 |
56.2 |
63.0 |
119.2 |
63 |
Tunisia |
4.9 |
17.5 |
22.5 |
5.5 |
17.6 |
23.1 |
64 |
Turkey |
83.8 |
222.6 |
306.4 |
90.2 |
228.0 |
318.2 |
65 |
Ukraine |
32.7 |
93.5 |
126.2 |
32.8 |
94.1 |
126.9 |
66 |
United Kingdom |
7,011.3 |
2,862.9 |
9,874.2 |
7,264.2 |
2,944.0 |
10,208.1 |
67 |
United States |
5,414.3 |
10,093.9 |
15,508.2 |
5,263.6 |
10,217.7 |
15,481.2 |
68 |
Uruguay |
0.1 |
13.9 |
14.1 |
0.1 |
14.5 |
14.6 |
69 |
EURO Area |
0.0 |
1,830.8 |
1,830.8 |
0.0 |
1,843.3 |
1,843.3 |
Source: : Table 1 of the Quarterly External Debt Database, World Bank. |
Statement 1 : India's External Debt Outstanding |
(` billion) |
Item |
Jun-11 R |
Sep- 11 R |
Dec-11 R |
Mar-12 PR |
Jun-12 QE |
1 |
2 |
3 |
4 |
5 |
I. Multilateral |
2,225 |
2,404 |
2,657 |
2,571 |
2,849 |
A. Government borrowing |
1,939 |
2,090 |
2,310 |
2,226 |
2,445 |
i) Concessional |
1,225 |
1,309 |
1,436 |
1,387 |
1,498 |
a) IDA |
1,209 |
1,291 |
1,417 |
1,368 |
1,478 |
b) Others # |
16 |
18 |
19 |
19 |
20 |
ii) Non-concessional |
714 |
781 |
874 |
839 |
947 |
a) IBRD |
398 |
428 |
477 |
453 |
510 |
b) Others ## |
316 |
353 |
397 |
386 |
437 |
B. Non-Government borrowing |
286 |
314 |
347 |
345 |
403 |
i) Concessional |
0 |
0 |
0 |
0 |
0 |
ii) Non-concessional |
286 |
314 |
347 |
345 |
403 |
a) Public sector |
161 |
179 |
197 |
194 |
228 |
IBRD |
93 |
103 |
111 |
111 |
127 |
Others ## |
68 |
76 |
86 |
83 |
102 |
b) Financial institutions |
85 |
93 |
102 |
103 |
119 |
IBRD |
21 |
22 |
25 |
27 |
30 |
Others ## |
64 |
71 |
77 |
76 |
89 |
c) Private sector |
40 |
42 |
48 |
48 |
56 |
IBRD |
0 |
0 |
0 |
0 |
0 |
Others |
40 |
42 |
48 |
48 |
56 |
II. Bilateral |
1,178 |
1,325 |
1,439 |
1,362 |
1,555 |
A. Government borrowing |
816 |
922 |
988 |
916 |
1,050 |
i) Concessional |
816 |
922 |
988 |
916 |
1,050 |
ii) Non-concessional |
0 |
0 |
0 |
0 |
0 |
B. Non-Government borrowing |
362 |
403 |
451 |
446 |
505 |
i) Concessional |
42 |
45 |
66 |
68 |
79 |
a) Public sector |
17 |
18 |
36 |
41 |
49 |
b) Financial institutions |
25 |
28 |
29 |
27 |
30 |
c) Private sector |
0 |
0 |
0 |
0 |
0 |
ii) Non-concessional |
320 |
358 |
385 |
378 |
426 |
a) Public sector |
138 |
149 |
157 |
142 |
157 |
b) Financial institutions |
38 |
40 |
42 |
39 |
43 |
c) Private sector |
144 |
169 |
186 |
197 |
226 |
III. International Monetary Fund |
285 |
304 |
325 |
315 |
340 |
IV. Trade Credit |
837 |
930 |
1,026 |
971 |
1,077 |
a) Buyers' credit |
737 |
818 |
906 |
859 |
950 |
b) Suppliers' credit |
28 |
32 |
34 |
32 |
36 |
c) Export credit component of bilateral credit |
71 |
80 |
86 |
80 |
91 |
d) Export credit for defence purposes |
0 |
0 |
0 |
0 |
0 |
Statement 1 : India’s External Debt Outstanding |
(` billion) |
Item |
Jun-11 R |
Sep- 11 R |
Dec-11 R |
Mar-12 PR |
Jun-12 QE |
1 |
2 |
3 |
4 |
5 |
V. COMMERCIAL BORROWING |
4,145 |
4,726 |
5,297 |
5,383 |
5,903 |
a) Commercial bank loans |
2,828 |
3,313 |
3,767 |
3,755 |
4,212 |
b) Securitized borrowings $ (including FCCBs) SEBI Debt Funds |
1,286 |
1,386 |
1,502 |
1,602 |
1,672 |
c) Loans/securitized borrowings, etc. with multilateral/bilateral guarantee and IFC(W) |
31 |
27 |
28 |
26 |
20 |
VI. NRI Deposits (above one-year maturity) |
2,358 |
2,558 |
2,796 |
2,998 |
3,428 |
a) NR(E)RA |
1,168 |
1,240 |
1,354 |
1,607 |
2,009 |
b) FCNR(B) |
720 |
774 |
819 |
766 |
804 |
c) NRO Deposits |
471 |
545 |
623 |
626 |
615 |
VII. Rupee Debt * |
70 |
70 |
70 |
69 |
69 |
a) Defence |
63 |
63 |
63 |
62 |
62 |
b) Civilian + |
7 |
7 |
7 |
7 |
7 |
VIII. Short-term Debt |
3,062 |
3,499 |
4,047 |
4,000 |
4,530 |
a) Trade Related credits |
2,752 |
3,150 |
3,460 |
3,332 |
3,970 |
1) Above 180 days |
1,652 |
1,885 |
2,118 |
2,005 |
2,546 |
2) Upto 180 days |
1,100 |
1,266 |
1,342 |
1,327 |
1,424 |
b) FII investment in Government |
264 |
302 |
473 |
481 |
466 |
T-Bills and other instruments |
|
|
|
|
|
c) Investment in Treasury Bills by foreign central banks and international Institutions etc. |
2 |
3 |
3 |
3 |
3 |
d) External Debt Liabilities of : |
44 |
43 |
110 |
184 |
91 |
1) Central Banks |
6 |
6 |
6 |
9 |
10 |
2) Commercial Banks |
38 |
37 |
104 |
175 |
81 |
IX. GROSS TOTAL |
14,160 |
15,816 |
17,657 |
17,668 |
19,750 |
MEMO ITEMS |
|
|
|
|
|
A. Total Long-term Debt |
11,098 |
12,317 |
13,610 |
13,670 |
15,221 |
As % of Total Debt |
78.4 |
77.9 |
77.1 |
77.4 |
77.1 |
B. Short-term Debt |
3,062 |
3,499 |
4,047 |
4,000 |
4,530 |
As % of Total Debt |
21.6 |
22.1 |
22.9 |
22.6 |
22.9 |
C. Concessional Debt |
2,153 |
2,346 |
2,560 |
2,440 |
2,695 |
As % of Total Debt |
15.2 |
14.8 |
14.5 |
13.8 |
13.6 |
R: Revised. QE : Quick Estimates; PR : Partially Revised..
# Refers to Debt outstanding to Institutions like IFAD, OPEC & EEC(SAC)
## Refers to debt outstanding against loans from ADB
$ Includes net investment by 100 per cent FII debt funds
* Debt denominated in Rupees and payable in exports
+ Includes Rupee suppliers' credit from end-March 1990 onwards.
Notes : Multilateral loans do not include revaluation of IBRD pooled loans and exchange rate adjustment under IDA loans for Pre-1971 credits. |
Statement 2 : India’s External Debt Outstanding |
(US $ million) |
Item |
Jun-11 R |
Sep- 11 R |
Dec-11 R |
Mar-12 PR |
Jun-12 QE |
1 |
2 |
3 |
4 |
5 |
I. Multilateral |
49,375 |
49,122 |
49,909 |
50,453 |
49,780 |
A. Government borrowing |
43,015 |
42,702 |
43,380 |
43,686 |
42,707 |
i) Concessional |
27,177 |
26,743 |
26,977 |
27,221 |
26,163 |
a) IDA |
26,815 |
26,378 |
26,617 |
26,853 |
25,809 |
b) Others # |
362 |
365 |
360 |
368 |
354 |
ii) Non-concessional |
15,838 |
15,959 |
16,402 |
16,465 |
16,544 |
a) IBRD |
8,829 |
8,748 |
8,953 |
8,896 |
8,908 |
b) Others ## |
7,009 |
7,211 |
7,449 |
7,568 |
7,635 |
B. Non-Government borrowing |
6,360 |
6,420 |
6,530 |
6,767 |
7,073 |
i) Concessional |
0 |
0 |
0 |
0 |
0 |
ii) Non-concessional |
6,360 |
6,420 |
6,530 |
6,767 |
7,073 |
a) Public sector |
3,568 |
3,658 |
3,706 |
3,808 |
3,991 |
IBRD |
2,061 |
2,096 |
2,090 |
2,177 |
2,211 |
Others ## |
1,507 |
1,562 |
1,616 |
1,631 |
1,780 |
b) Financial institutions |
1,892 |
1,910 |
1,913 |
2,018 |
2,081 |
IBRD |
459 |
452 |
466 |
531 |
525 |
Others ## |
1,433 |
1,458 |
1,447 |
1,487 |
1,555 |
c) Private sector |
899 |
852 |
910 |
941 |
1,001 |
IBRD |
0 |
0 |
0 |
0 |
0 |
Others |
899 |
852 |
910 |
941 |
1,001 |
II. Bilateral |
26,168 |
27,077 |
27,038 |
26,714 |
27,248 |
A. Government borrowing |
18,104 |
18,836 |
18,561 |
17,987 |
18,332 |
i) Concessional |
18,104 |
18,836 |
18,561 |
17,987 |
18,332 |
ii) Non-concessional |
0 |
0 |
0 |
0 |
0 |
B. Non-Government borrowing |
8,064 |
8,241 |
8,477 |
8,727 |
8,916 |
i) Concessional |
930 |
934 |
1,227 |
1,339 |
1,377 |
a) Public sector |
374 |
368 |
680 |
812 |
851 |
b) Financial institutions |
555 |
566 |
547 |
527 |
526 |
c) Private sector |
0 |
0 |
0 |
0 |
0 |
ii) Non-concessional |
7,135 |
7,307 |
7,250 |
7,388 |
7,538 |
a) Public sector |
3,073 |
3,042 |
2,965 |
2,780 |
2,772 |
b) Financial institutions |
842 |
819 |
797 |
762 |
748 |
c) Private sector |
3,220 |
3,446 |
3,488 |
3,846 |
4,018 |
III. International Monetary Fund |
6,367 |
6,213 |
6,108 |
6,163 |
6,037 |
IV. Trade Credit |
18,692 |
19,020 |
19,271 |
18,980 |
19,094 |
a) Buyers' credit |
16,487 |
16,731 |
17,024 |
16,794 |
16,864 |
b) Suppliers' credit |
630 |
651 |
634 |
623 |
636 |
c) Export credit component of bilateral credit |
1,574 |
1,638 |
1,614 |
1,564 |
1,594 |
d) Export credit for defence purposes |
0 |
0 |
0 |
0 |
0 |
Statement 2: India’s External Debt Outstanding |
(US $ million) |
Item |
Jun-11PR |
Sep- 11PR |
Dec-11 P |
Mar-12 P |
Jun-12 QE |
1 |
2 |
3 |
4 |
5 |
V. COMMERCIAL BORROWING |
92,675 |
96,627 |
99,466 |
105,210 |
104,841 |
a) Commercial bank loans |
63,233 |
67,735 |
70,728 |
73,402 |
74,796 |
b) Securitized borrowings $ (including
FCCBs) SEBI Debt Funds |
28,759 |
28,335 |
28,218 |
31,306 |
29,696 |
c) Loans/securitized borrowings, etc. with multilateral/bilateral guarantee and IFC(W) |
683 |
557 |
520 |
503 |
349 |
d) Self Liquidating Loans |
0 |
0 |
0 |
0 |
0 |
VI. NRI Deposits (above one-year maturity) |
52,898 |
52,304 |
52,497 |
58,608 |
60,874 |
a) NR(E)RA |
26,190 |
25,344 |
25,430 |
31,408 |
35,681 |
b) FCNR(B) |
16,142 |
15,824 |
15,376 |
14,968 |
14,272 |
c) NRO Deposits |
10,565 |
11,136 |
11,691 |
12,232 |
10,921 |
VII. Rupee Debt * |
1,568 |
1,422 |
1,307 |
1,354 |
1,219 |
a) Defence |
1,411 |
1,278 |
1,175 |
1,216 |
1,101 |
b) Civilian + |
157 |
144 |
132 |
138 |
118 |
VIII. Short-term Debt |
68,473 |
71,530 |
75,995 |
78,179 |
80,450 |
a) Trade Related credits |
61,531 |
64,402 |
64,978 |
65,130 |
70,508 |
1) Above 180 days |
36,933 |
38,528 |
39,779 |
39,182 |
45,220 |
2) Upto 180 days |
24,599 |
25,874 |
25,199 |
25,948 |
25,288 |
b) FII investment in Government T-Bills and other instruments |
5,901 |
6,176 |
8,886 |
9,395 |
8,268 |
c) Investment in Treasury Bills by foreign central banks and international Institutions etc. |
48 |
66 |
58 |
64 |
56 |
d) External Debt Liabilities of : |
993 |
886 |
2,073 |
3,590 |
1,619 |
1) Central Banks |
133 |
123 |
118 |
170 |
174 |
2) Commercial Banks |
860 |
763 |
1,955 |
3,420 |
1,445 |
IX. GROSS TOTAL |
316,216 |
323,314 |
331,591 |
345,661 |
349,543 |
MEMO ITEMS |
|
|
|
|
|
A. Total Long-term Debt |
247,743 |
251,784 |
255,597 |
267,482 |
269,093 |
As % of Total Debt |
78.3 |
77.9 |
77.1 |
77.4 |
77.0 |
B. Short-term Debt |
68,473 |
71,530 |
75,995 |
78,179 |
80,450 |
As % of Total Debt |
21.7 |
22.12 |
22.9 |
22.6 |
23.0 |
C. Concessional Debt |
47,779 |
47,935 |
48,073 |
47,901 |
47,092 |
As % of Total Debt |
15.1 |
14.8 |
14.5 |
13.8 |
13.5 |
R; Revised. P : Provisional; PR : Partially Revised.
# Refers to Debt outstanding to Institutions like IFAD, OPEC & EEC(SAC)
## Refers to debt outstanding against loans from ADB
$ Includes net investment by 100 per cent FII debt funds
* Debt denominated in Rupees and payable in exports
+ Includes Rupee suppliers' credit from end-March 1990 onwards.
Notes : Multilateral loans do not include revaluation of IBRD pooled loans and exchange rate adjustment under credits IDA loans for Pre-1971. |
|