In line with India‘s Quarterly Exterior Debt Report for quarter ended December 2021, the nation’s exterior debt was positioned at USD 614.9 billion, recording a rise of USD 11.5 billion over its stage on the finish of September 2021.
“India’s exterior debt continues to be sustainable and prudently managed,” it mentioned.
Valuation achieve as a result of appreciation of the US greenback vis-a-vis main currencies akin to Euro, Yen and Particular Drawing Rights (SDRs) was positioned at USD 1.7 billion.
“Excluding the valuation impact, the rise in exterior debt would have been USD 13.2 billion as an alternative of a rise of USD 11.5 billion at end-December 2021 over end- September 2021,” it mentioned.
Industrial borrowings remained the most important part of exterior debt, with a share of 36.8 per cent, adopted by non-resident deposits (23.1 per cent) and short-term commerce credit score.
On the finish of December 2021, long-term debt, with authentic maturity of above one yr, was positioned at USD 500.3 billion, recording a rise of USD 1.7 billion over its stage on the finish of September 2021.
The share of short-term debt, with authentic maturity of as much as one yr, in complete exterior debt elevated to 18.6 per cent on the finish of December 2021 from 17.4 per cent at end-September 2021.
US greenback denominated debt remained the most important part of India’s exterior debt, with a share of 52 per cent at end-December 2021, adopted by the Indian rupee (32 per cent), SDR (6.7 per cent), Yen (5.3 per cent), and the Euro (3.1 per cent).
“The borrower-wise classification reveals that the excellent exterior debt of presidency marginally declined whereas that of non-government sector elevated as at end-December 2021 over the earlier quarter,” the report mentioned.
Additionally, debt service (principal repayments plus curiosity funds) elevated to 4.9 per cent of present receipts at end-December 2021 from 4.7 per cent at end-September 2021.
