Lok Sabha Question No. 1058 (UNSTARRED), answered on 2016-04-29
Subject: Debt of the Country
Ministry: FINANCE
Asked by: VEENA DEVI, K. GOPAL, KAPIL MORESHWAR PATIL

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

UNSTARRED QUESTION NO. †1058 TO BE ANSWERED ON FRIDAY, 29 th  APRIL, 2016 VAISAKHA 09, 1938 (SAKA)

## Debt of the Country

†1058. SHRIMATI VEENA DEVI: DR. K. GOPAL: SHRI KAPIL MORESHWAR PATIL

Will the Minister of   FINANCE ( व  त मंी )  be pleased to state:

- (a) the per capita internal and external debt of the country during each of the last three years and the current year till date;
- (b) whether  the  economy  has  witnessed  growth  in  the  domestic  and  foreign  debt  disproportionate  to  the growth in GDP for the same period and if so, the details thereof and reaction of the Government; and
- (c) the measures taken or proposed to be taken to improve the scenario?

## ANSWER

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MINISTER OF STATE IN THE MINISTRY OF FINANCE

(SHRI JAYANT SINHA)

- (a) Per capita debt burden on the country as per Union Government Finance Accounts for the financial year 2013-14 to 2014-15 and as per Revised Estimates 2015-16 is tabulated below:
- (b) No, Sir. The growth in debt and GDP is not disproportionate and is at manageable levels. However in the year 2015-16 growth in debt was 10.4 per cent as against 8.6 per cent growth in GDP. As per BE 2016-17 growth in debt and GDP has been estimated at 7.9 per cent and 11 per cent respectively over the previous year. The actual and estimated growth in debt and GDP is as under:

| Year         | Internal Debt ( ` crore)   | External Debt ( ` crore)   | Total Debt ( ` crore)   |   Population (in crore) | Per capita Debt ( `)   |
|--------------|----------------------------|----------------------------|-------------------------|-------------------------|------------------------|
| 2013-14      | 54,84,547                  | 1,84,581                   | 56,69,128               |                   125.1 | 45,317                 |
| 2014-15      | 60,44,706                  | 1,97,514                   | 62,42,220               |                   126.7 | 49,268                 |
| 2015-16 (RE) | 66,82,916                  | 2,08,998                   | 68,91,914               |                   128.3 | 53,717                 |

| Year         | Total Debt ( ` crore)   | Growth in Debt over previous year (%)   | GDP ( ` crore)   |   Growth (Nominal) in GDP previous year (%) |
|--------------|-------------------------|-----------------------------------------|------------------|---------------------------------------------|
| 2013-14      | 56,69,128               | 11.8                                    | 1,12,72,764      |                                        13.3 |
| 2014-15      | 62,42,220               | 10.1                                    | 1,24,88,205      |                                        10.8 |
| 2015-16 (RE) | 68,91,914               | 10.4                                    | 1,35,67,192      |                                         8.6 |
| 2016-17(BE)  | 74,38,181               | 7. 9                                    | 1,50,65,010      |                                        11   |

(c) The Government has adopted the path of fiscal consolidation with gradual exit from the fiscally unsupported expansionary measures in a calibrated manner. The reduction in Fiscal deficit from 4.1 per cent of GDP in Revised Estimates 2014-15 to 3.9 per cent of GDP in Revised Estimates 2015-16 and 3.5 per cent in BE 2016-17 is designed with a mix of rationalisation in total expenditure, better targeting of welfare/subsidy  measures  and  improvement  in  gross  tax  and  non  tax  revenue  as  percentage  of  GDP. With  reprioritization  of  expenditure  towards  developmental  side  and  curtailing  the  growth  in  nondevelopment expenditure, total expenditure is estimated to decline as percentage of GDP.

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