The stock of external debt at end-March 2024 as well as revised data for earlier quarters are set out in Statements I (IMF format[1]) and II (old format). The major developments relating to India’s external debt as at end-March 2024 are presented below.
Highlights
- At end-March 2024, India’s external debt was placed at US$ 663.8 billion, an increase of US$ 39.7 billion over its level at end-March 2023 (Table 1).
- The external debt to GDP ratio declined to 18.7 per cent at end-March 2024 from 19.0 per cent at end-March 2023.
- Valuation effect due to the appreciation of the US dollar vis-à-vis the Indian rupee and other major currencies such as yen, the euro and SDR[2] amounted to US$ 8.7 billion. Excluding the valuation effect, external debt would have increased by US$ 48.4 billion instead of US$ 39.7 billion at end-March 2024 over end-March 2023.
- At end-March 2024, long-term debt (with original maturity of above one year) was placed at US$ 541.2 billion, recording an increase of US$ 45.6 billion over its level at end-March 2023.
- The share of short-term debt (with original maturity of up to one year) in total external debt declined to 18.5 per cent at end-March 2024 from 20.6 per cent at end-March 2023. Similarly, the ratio of short-term debt (original maturity) to foreign exchange reserves declined to 19.0 per cent at end-March 2024 (22.2 per cent at end-March 2023).
- Short-term debt on residual maturity basis (i.e., debt obligations that include long-term debt by original maturity falling due over the next twelve months and short-term debt by original maturity) constituted 42.9 per cent of total external debt at end-March 2024 (44.0 per cent at end-March 2023) and stood at 44.1 per cent of foreign exchange reserves (47.4 per cent at end-March 2023) (Table 2).
- US dollar-denominated debt remained the largest component of India’s external debt, with a share of 53.8 per cent at end-March 2024, followed by debt denominated in the Indian rupee (31.5 per cent), yen (5.8 per cent), SDR (5.4 per cent), and euro (2.8 per cent).
- Outstanding debt of both government and non-government sectors increased at end-March 2024 over the level a year ago (Table 3).
- The share of outstanding debt of non-financial corporations in total external debt was the highest at 37.4 per cent, followed by deposit-taking corporations (except the central bank) (28.1 per cent), general government (22.4 per cent) and other financial corporations (7.3 per cent).
- Loans remained the largest component of external debt, with a share of 33.4 per cent, followed by currency and deposits (23.3 per cent), trade credit and advances (17.9 per cent) and debt securities (17.3 per cent) (Table 4).
- Debt service (i.e., principal repayments and interest payments) increased to 6.7 per cent of current receipts at end-March 2024 from 5.3 per cent at end-March 2023, reflecting higher debt service (Table 5).
(Puneet Pancholy)
Chief General Manager
Press Release: 2024-2025/559
Table 1: External Debt – Outstanding and Variation
|
(US$ billion, unless indicated otherwise)
|
Sector
|
Outstanding as at
end-March
|
Absolute Variation
|
Percentage Variation
|
2022 R
|
2023 PR
|
2024 P
|
March 2023 over March 2022
|
March 2024 over March 2023
|
March 2023 over March 2022
|
March 2024 over March 2023
|
1
|
2
|
3
|
4
|
5
|
6
|
7
|
8
|
I. General Government
|
130.8
|
133.3
|
148.7
|
2.5
|
15.4
|
1.9
|
11.5
|
II. Central Bank
|
0.1
|
0.1
|
0.2
|
0.1
|
0.1
|
77.0
|
56.3
|
III. Deposit-taking Corporations, except the Central Bank
|
160.4
|
163.4
|
186.8
|
3.0
|
23.4
|
1.8
|
14.3
|
IV. Other Sectors
|
299.9
|
297.8
|
296.7
|
-2.1
|
-1.1
|
-0.7
|
-0.4
|
IV.1. Other financial corporations
|
51.1
|
55.0
|
48.5
|
3.9
|
-6.5
|
7.7
|
-11.8
|
IV.2. Non-financial corporations
|
248.8
|
242.8
|
248.1
|
-6.0
|
5.4
|
-2.4
|
2.2
|
IV.3. Households and nonprofit institutions serving households (NPISHs)
|
0.0
|
0.0
|
0.0
|
0.0
|
0.0
|
-23.7
|
-16.5
|
V. Direct Investment: Intercompany Lending
|
27.6
|
29.4
|
31.4
|
1.8
|
1.9
|
6.6
|
6.6
|
Total Debt (I to V)
|
618.8
|
624.1
|
663.8
|
5.3
|
39.7
|
0.9
|
6.4
|
Memo Items:
|
|
|
|
|
|
|
|
A. Long-term Debt (original maturity)@
|
497.1
|
495.7
|
541.2
|
-1.4
|
45.6
|
-0.3
|
9.2
|
B. Short-term Debt (original maturity)#
|
121.7
|
128.4
|
122.5
|
6.7
|
-5.9
|
5.5
|
-4.6
|
R: Revised. PR: Partially Revised. P: Provisional.
|
|
|
|
|
|
|
|
@: Debt with original maturity of above one year.
|
#: Debt with original maturity of up to one year.
Note: Figures may not add up to total due to rounding off.
|
Table 2: Residual Maturity of Outstanding External Debt as at end-March 2024
|
(US$ billion, unless indicated otherwise)
|
Sector
|
Short-term up to one year
|
1 to 2 years
|
2 to 3 years
|
More than 3 years
|
Total (2 to 5)
|
1
|
2
|
3
|
4
|
5
|
6
|
I. General Government
|
8.8
|
10.1
|
13.7
|
116.1
|
148.7
|
I.A. Short-term Debt
|
0.2
|
–
|
–
|
–
|
0.2
|
I.B. Long-term Debt
|
8.5
|
10.1
|
13.7
|
116.1
|
148.5
|
II. Central Bank
|
0.2
|
0.0
|
0.0
|
0.0
|
0.2
|
II.A. Short-term Debt
|
0.2
|
–
|
–
|
–
|
0.2
|
II.B. Long-term Debt
|
0.0
|
0.0
|
0.0
|
0.0
|
0.0
|
III. Deposit-taking Corporations, except the Central Bank
|
111.0
|
29.2
|
9.3
|
37.3
|
186.8
|
III.A. Short-term Debt
|
2.7
|
–
|
–
|
–
|
2.7
|
III.B. Long-term Debt
|
108.3
|
29.2
|
9.3
|
37.3
|
184.1
|
IV. Other Sectors
|
157.9
|
21.2
|
26.4
|
91.2
|
296.7
|
IV.A. Short-term Debt
|
119.4
|
–
|
–
|
–
|
119.4
|
IV.B. Long-term Debt
|
38.5
|
21.2
|
26.4
|
91.2
|
177.3
|
IV.1. Other financial corporations
|
6.9
|
5.5
|
10.4
|
25.8
|
48.5
|
IV.1.A. Short-term Debt
|
1.4
|
–
|
–
|
–
|
1.4
|
IV.1.B. Long-term Debt
|
5.5
|
5.5
|
10.4
|
25.8
|
47.1
|
IV.2. Non-financial corporations
|
151.0
|
15.8
|
16.0
|
65.4
|
248.1
|
IV.2.A. Short-term Debt
|
118.0
|
–
|
–
|
–
|
118.0
|
IV.2.B. Long-term Debt
|
33.0
|
15.8
|
16.0
|
65.4
|
130.1
|
IV.3. Households and nonprofit institutions serving households (NPISHs)
|
0.0
|
0.0
|
0.0
|
0.0
|
0.0
|
IV.3.A. Short-term Debt
|
0.0
|
–
|
–
|
–
|
0.0
|
IV.3.B. Long-term Debt
|
0.0
|
0.0
|
0.0
|
0.0
|
0.0
|
V. Direct Investment: Intercompany Lending
|
7.1
|
3.9
|
4.7
|
15.8
|
31.4
|
A. Total Short-term Debt
|
122.5
|
|
|
|
122.5
|
B. Total Long-term Debt
|
162.4
|
64.4
|
54.1
|
260.3
|
541.2
|
C. Total Debt (A+B)
|
285.0
|
64.4
|
54.1
|
260.3
|
663.8
|
Memo Items:
|
|
|
|
|
|
Short-term Debt (residual maturity) as per cent of Total External Debt
|
42.9
|
Short-term Debt (residual maturity) as per cent of Foreign Exchange Reserves
|
44.1
|
Note: Figures may not add up to total due to rounding off.
|
|
Table 3: Government and Non-government External Debt
|
(US$ billion, unless indicated otherwise)
|
Component
|
End-March
|
2021
|
2022 R
|
2023 PR
|
2024 P
|
1
|
2
|
3
|
4
|
5
|
A. Government Debt (I+II)
|
111.6
|
130.8
|
133.3
|
148.7
|
(As percentage of GDP)
|
(4.1)
|
(4.2)
|
(4.1)
|
(4.2)
|
I. External Debt on Government Account under External Assistance
|
84.5
|
86.7
|
91.1
|
95.5
|
II. Other Government External Debt@
|
27.1
|
44.1
|
42.3
|
53.2
|
B. Non-government Debt
|
461.8
|
488.0
|
490.7
|
515.1
|
(As percentage of GDP)
|
(17.0)
|
(15.7)
|
(15.0)
|
(14.5)
|
B.1. Central Bank
|
0.2
|
0.1
|
0.1
|
0.2
|
B.2. Deposit-taking Corporations, except the Central Bank
|
160.8
|
160.4
|
163.4
|
186.8
|
B.3. Other Financial Corporations
|
55.2
|
51.1
|
55.0
|
48.5
|
B.4. Non-financial Corporations
|
220.4
|
248.8
|
242.8
|
248.1
|
B.5. Households and nonprofit institutions serving households (NPISHs)
|
0.0
|
0.0
|
0.0
|
0.0
|
B.6. Direct Investment: Intercompany Lending
|
25.2
|
27.6
|
29.4
|
31.4
|
C. Total Debt (A+B)
|
573.4
|
618.8
|
624.1
|
663.8
|
(As percentage of GDP)
|
(21.1)
|
(19.9)
|
(19.0)
|
(18.7)
|
R: Revised. PR: Partially Revised. P: Provisional.
|
@: Other government external debt includes defence debt, investment in treasury bills/government securities by foreign portfolio investors, foreign central banks and international institutions, and SDR allocations by the IMF.
Note: Figures may not add up to total due to rounding off.
|
Table 4: Outstanding External Debt by Instruments
|
(US$ billion)
|
Instrument
|
End-March
|
2021
|
2022 R
|
2023 PR
|
2024 P
|
1
|
2
|
3
|
4
|
5
|
1. Special Drawing Rights (allocations)
|
5.6
|
22.9
|
22.3
|
21.9
|
2. Currency and Deposits
|
143.8
|
141.0
|
141.1
|
154.8
|
3. Debt Securities
|
106.9
|
112.6
|
104.6
|
115.1
|
4. Loans
|
191.9
|
196.9
|
202.3
|
222.0
|
5. Trade Credit and Advances
|
100.0
|
117.8
|
124.3
|
118.6
|
6. Other Debt Liabilities
|
0.0
|
0.0
|
0.0
|
0.0
|
7. Direct Investment: Intercompany Lending
|
25.2
|
27.6
|
29.4
|
31.4
|
Total Debt
|
573.4
|
618.8
|
624.1
|
663.8
|
R: Revised. PR: Partially Revised. P: Provisional.
Note: Figures may not add up to total due to rounding off.
|
Table 5: India’s Key External Debt Indicators
|
(Per cent, unless indicated otherwise)
|
End-March
|
External Debt
(US$ billion)
|
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 (original maturity) to Foreign Exchange Reserves
|
Ratio of Short-term Debt (original maturity) to Total Debt
|
1
|
2
|
3
|
4
|
5
|
6
|
7
|
8
|
1991
|
83.8
|
28.3
|
35.3
|
7.0
|
45.9
|
146.5
|
10.2
|
1996
|
93.7
|
26.6
|
26.2
|
23.1
|
44.7
|
23.2
|
5.4
|
2001
|
101.3
|
22.1
|
16.6
|
41.7
|
35.4
|
8.6
|
3.6
|
2006
|
139.1
|
17.1
|
10.1#
|
109.0
|
28.4
|
12.9
|
14.0
|
2007
|
172.4
|
17.7
|
4.7
|
115.6
|
23.0
|
14.1
|
16.3
|
2008
|
224.4
|
18.3
|
4.8
|
138.0
|
19.7
|
14.8
|
20.4
|
2009
|
224.5
|
20.7
|
4.4
|
112.2
|
18.7
|
17.2
|
19.3
|
2010
|
260.9
|
18.5
|
5.8
|
106.9
|
16.8
|
18.8
|
20.1
|
2011
|
317.9
|
18.6
|
4.4
|
95.9
|
14.9
|
21.3
|
20.4
|
2012
|
360.8
|
21.1
|
6.0
|
81.6
|
13.3
|
26.6
|
21.7
|
2013
|
409.4
|
22.4
|
5.9
|
71.3
|
11.1
|
33.1
|
23.6
|
2014
|
446.2
|
23.9
|
5.9
|
68.2
|
10.4
|
30.1
|
20.5
|
2015
|
474.7
|
23.8
|
7.6
|
72.0
|
8.8
|
25.0
|
18.0
|
2016
|
484.8
|
23.4
|
8.8
|
74.3
|
9.0
|
23.2
|
17.2
|
2017
|
471.0
|
19.8
|
8.3
|
78.5
|
9.4
|
23.8
|
18.7
|
2018
|
529.3
|
20.1
|
7.5
|
80.2
|
9.1
|
24.1
|
19.3
|
2019
|
543.1
|
19.9
|
6.4
|
76.0
|
8.7
|
26.3
|
20.0
|
2020
|
558.3
|
20.9
|
6.5
|
85.6
|
8.8
|
22.4
|
19.1
|
2021
|
573.4
|
21.1
|
8.2
|
100.6
|
9.0
|
17.5
|
17.6
|
2022 R
|
618.8
|
19.9
|
5.2
|
98.1
|
8.3
|
20.0
|
19.7
|
2023 PR
|
624.1
|
19.0
|
5.3
|
92.7
|
8.2
|
22.2
|
20.6
|
2024 P
|
663.8
|
18.7
|
6.7
|
97.4
|
7.5
|
19.0
|
18.5
|
R: Revised. PR: Partially Revised. P: Provisional.
|
# 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.
|
|