Business

India's External Debt Up By 12.4% In 2018: RBI

JAVED SAIFI | 0
7343
| June 30 , 2018 , 15:30 IST

As per the data released by the Reserve Bank of India, India’s external debt rose by 12.4% to $529.7 billion as of March 2018 over its level that stood at end-March 2017.

According to the report, commercial borrowings with a share of 38.2% is the largest component in an increase of external debt, followed by NRI deposits with 23.8% and short-term trade credit with 19.0%.

“The increase in the magnitude of external debt was partly due to valuation loss resulting from the depreciation of the US dollar against major currencies." the statement said.

“Excluding the valuation effect, the increase in external debt would have been US$ 53.1 billion instead of US$ 58.4 billion at end-March 2018 over end-March 2017,” RBI added.

India’s external debt was placed at US$ 529.7 billion, recording an increase of US$ 58.4 billion over its level at end-March 2017.

Also Read: Tax Share In GDP Ratio Increased by Almost 1.5 Percent: Arun Jaitley

The report also mentions that at the end March 2018, long-term debt was placed at US$ 427.5 billion with an increase of US$ 44.3 billion than of end-March 2017. The share of long-term debt in total external debt at end-March 2018 was 80.7% lower than its level of 81.3% at end-March 2017. On the other hand, short-term debt in total external debt increased to 19.3% at end-March 2018 from 18.7% at end-March 2017.

India’s external debt at the end-March 2013 was placed at US$ 390 billion.