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Whereas long run debt rose 5.6 per cent to $499 billion, short-term debt elevated 20 p.c to $121 billion, knowledge signifies. The share of short-term debt (with authentic maturity of as much as one 12 months) in complete exterior debt elevated to 19.6 per cent at end-March 2022 from 17.6 per cent at end-March 2021. Equally, the ratio of short-term debt (authentic maturity) to international trade reserves elevated to twenty.0 per cent at end-March 2022 (17.5 per cent at end-March 2021
Valuation positive factors as a result of appreciation of the US greenback vis-à-vis Indian rupee and main currencies resembling yen, SDR, and euro had been positioned at $ 11.7 billion. Excluding the valuation impact, exterior debt would have elevated by $ 58.8 billion as an alternative of $ 47.1 billion at end-March 2022 over end-March 2021.
Brief-term debt on residual maturity foundation (i.e., debt obligations that embody long-term debt by authentic maturity falling due over the subsequent twelve months and short-term debt by authentic maturity) constituted 43.1 per cent of complete exterior debt at end-March 2022 (44.1 per cent at end-March 2021) and stood at 44.1 per cent of international trade reserves (43.8 per cent at end-March 2021).
US greenback denominated debt remained the most important element of India’s exterior debt, with a share of 53.2 per cent at end-March 2022, adopted by debt denominated within the Indian rupee (31.2 per cent), SDR (6.6 per cent), yen (5.4 per cent), and the euro (2.9 per cent).
Debt service (i.e., principal repayments and curiosity funds) declined to five.2 per cent of present receipts at end-March 2022 as in contrast with 8.2 per cent at end-March 2021, reflecting decrease repayments and better present receipts. The exterior debt to GDP ratio declined to 19.9 per cent at end-March 2022 from 21.2 per cent at end-March 2021.
