
India’s external debt grows by $29 billion, crosses $711 billion mark
India’s external debt continues to rise in absolute terms, reflecting growing corporate borrowings and valuation shifts, but the overall debt situation remains stable relative to the size of the economy.
According to recent figures, India’s total external debt stood at US $711.8 billion at the end of September 2024, marking an increase of over US \$29 billion from the previous quarter.
The debt-to-GDP ratio, however, edged up only slightly to 19.4 percent, indicating that strong economic expansion is helping absorb the increase.
Despite the rise in borrowing, India’s debt remains well-covered by its robust foreign exchange reserves, which stand at approximately US $691.5 billion.
The reserve coverage of external debt is close to 96 percent, a comfortable buffer that allows the ...
