India’s debt increased by 49% to a massive Rs 82 lakh crore in the last 4.5 years

Overall liabilities of the government have multiplied 49% to Rs 82 lakh crore in the last four-and-half years during the PM Modi-led government, according to the 8th Edition of the Status Paper on Government Debt which was released on Friday.

When compared to the latest data available dated September 2018 when the total debt of the Central government was at Rs 82,03,253 crore, the equivalent amount till June 2014 was Rs 54,90,763 crore, the Finance Ministry’s data on government borrowings says.

photo credit-

The sudden rise in government’s debt has been steered by 51.7 per cent growth in public debt from Rs 48 lakh crore to Rs 73 lakh crore in the four-and-half year period, which in succession was propelled by 54 per cent rise in internal debt to about Rs 68 lakh crore.

Dependence on market loans reveal a similar rise of 47.5 per cent to more than Rs 52 lakh crore during the spell whereas debt raised through gold bonds was nil at the end of June 2014, it was at Rs 9,089 crore (including the gold monetisation scheme).

As far as the Central government is concerned, they gave a complete analysis of the overall debt position of the government of India. It has been showing an annual status paper on government debt since 2010-11, the Finance Ministry added in a statement.

“The overall liabilities of the Central government are on a medium-term declining trajectory and government’s debt portfolio is characterised by prudent risk profile,” the paper with details of fiscal deficit financing operations of the government shows.

“Government is primarily resorting to market-linked borrowings for financing its fiscal deficit. Conventional indicators … indicate that the debt profile of the government is comfortably placed in terms of debt sustainability parameters and is consistently improving,” it added.

(With inputs from IANS)

Note: The information given above was taken from IndiaTimes website.

Hailing from Chennai, Chaithanya G is the Managing Director of TheYouth. He has dedicated his whole life to reading and writing.