| 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. |
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