India's External Debt Rises

Sep 11,2006 00:00 by correspondent
India's external debt has risen to $125.2 billion as on March 2006, as compared to $123.2 billion in the previous fiscal.

"The increase in external debt was $2 billion during 2005-06 compared to $11.6 billion a year ago," an official statement said.

The lower level of accumulation of external debt in 2005-06 has been attributed to redemption of $5.5 billion India Millennium Deposits (IMDs) by State Bank of India in December 2005.

Component-wise, the increase in debt stock during 2005-06 was mainly due to escalation in NRI deposits and surge in short-term credits, which were partially offset by contraction in commercial borrowings and bilateral loans.

Source: PTI