Lok Sabha Question No. 415 (UNSTARRED), answered on 2019-06-24
Subject: External Debt
Ministry: FINANCE
Asked by: Gopal Chinayya Shetty

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF ECONOMIC AFFAIRS

## LOK SABHA UNSTARRED QUESTION NO. 415

## TO BE ANSWERED ON JUNE 24, 2019

## EXTERNAL DEBT

† 415. SHRI GOPAL CHINNAYA SHETTY:

Will the Minister of FINANCE be pleased to state:

- (d) the total amount paid to the foreign lenders as principal amount and interest during each of the last

(a) the details of external debt of the country till date; (b) the position of India among the indebted countries of the world; (c) the details of per capita burden of external debt at present; three years, country/institution-wise; and

- (e) the steps taken to reduce the debt burden of the country?

## ANSWER

## FINANCE MINISTER (Ms. NIRMALA SITHARAMAN)

- (a)  As on 31st December, 2018, India's External debt was USD 521.1 billion, of which share of long-term debt was 80.1 per cent. Commercial borrowings continued to be the largest component of external debt at 37.4 per cent, followed by NRI deposits (24.1 per cent) and short term trade credit (19.9 per cent). Sovereign Debt accounts for around 20 per cent of total external debt. (b)  According to World Bank's annual publication titled 'International Debt Statistics 2019', India's position among developing debtor countries in 2017 was third, in respect of absolute external debt stock, after China and Brazil. However, in respect of the ratio of External debt stock to Gross National Income (GNI), India's position in 2017 was fourth lowest at 19.8%. (c)  On the basis of the mid-year population estimates of Central Statistics Office, Ministry of Statistics and Programme Implementation, the per capita external debt of the country, as on 31 st December, 2018, is estimated at Rs. 27689. (d)  The table showing the total amount paid to the foreign lenders, as principal amount and interest during each of the last three years, country/ institution-wise, is placed at Annexure I. (e)  The prudent external debt management policy of the Government of India has helped in containing rise in external debt and maintaining a comfortable external debt position. The policy continues to focus on monitoring  long  and  short-term  debt,  raising  sovereign  loans  on  concessional  terms  with  longer maturities, regulating external commercial borrowings and rationalizing interest rates on Non-Resident
- Indian deposits.

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## External Debt Service Payments (Actual) by Creditor classification

| (US $ in million)    | (US $ in million)        | (US $ in million)   | (US $ in million)   | (US $ in million)   | (US $ in million)   | (US $ in million)   | (US $ in million)   |
|----------------------|--------------------------|---------------------|---------------------|---------------------|---------------------|---------------------|---------------------|
| S.No.                | Creditor                 | 2016-17             | 2016-17             | 2017-18 PR          | 2017-18 PR          | 2018-19 QE          | 2018-19 QE          |
|                      |                          | Principal           | Interest            | Principal           | Interest            | Principal           | Interest            |
| I                    | Multilateral (1 to 9)    | 3390                | 562                 | 3433                | 720                 | 3768                | 995                 |
| 1                    | ADB                      | 718                 | 173                 | 680                 | 242                 | 762                 | 383                 |
| 2                    | EIB                      | 0                   | 0                   | 0                   | 0                   | 0                   | 0                   |
| 3                    | NDB                      | 0                   | 0                   | 0                   | 0                   | 0                   | 1                   |
| 4                    | AIIB                     | 0                   | 0                   | 0                   | 1                   | 0                   | 3                   |
| 5                    | IBRD                     | 1028                | 163                 | 1025                | 238                 | 1105                | 361                 |
| 6                    | IDA                      | 1626                | 222                 | 1711                | 234                 | 1881                | 243                 |
| 7                    | IFAD                     | 15                  | 3                   | 15                  | 4                   | 16                  | 4                   |
| 8                    | EEC (SAC)                | 1                   | 0                   | 1                   | 0                   | 1                   | 0                   |
| 9                    | OPEC                     | 2                   | 1                   | 2                   | 1                   | 2                   | 1                   |
| II                   | Bilateral (1 to 7)       | 1429                | 336                 | 1318                | 325                 | 1397                | 350                 |
| 1                    | Germany                  | 414                 | 51                  | 302                 | 44                  | 334                 | 47                  |
| 2                    | France                   | 20                  | 6                   | 30                  | 8                   | 36                  | 8                   |
| 3                    | Japan                    | 849                 | 247                 | 849                 | 236                 | 890                 | 246                 |
| 4                    | Russian Federation (USD) | 109                 | 26                  | 104                 | 32                  | 104                 | 45                  |
| 5                    | Russian Federation (INR) | 8                   | 0                   | 8                   | 0                   | 8                   | 0                   |
| 6                    | Switzerland              | 0                   | 0                   | 0                   | 0                   | 0                   | 0                   |
| 7                    | USA                      | 28                  | 5                   | 25                  | 4                   | 26                  | 4                   |
| Grand Total (I + II) | Grand Total (I + II)     | 4819                | 898                 | 4751                | 1044                | 5164                | 1345                |

Source: CAAA.

PR: Partially Revised; QE: Quick Estimates.