TaxTMI 
TaxTMI 
4th Edition of The Status Paper on Government Debt
X X X X Extracts X X X X
X X X X Extracts X X X X
....th Edition of The Status Paper on Government Debt <br>Income Tax<br>Dated:- 21-1-2015<br><BR>Since 2010-11, the Central Government has been bringing out an annual Status Paper on Government Debt giving detailed analysis of the government's debt position. The fourth edition of the Status Paper is being released today. The Status Paper attempts to consolidate all the relevant information on Government Debt in one publication and provide an assessment of the health of the public debt portfolio on internationally accepted debt performance indicators. Apart from enhancing transparency, the paper also offers a preview to the way forward. This paper reiterates the Government's commitment to keep the level of Public Debt within sustainable limits. The Status Paper is available on Ministry of Finance's website www.finmin.nic.in. ============= Document 1 सतà¥à¤¯à¤®à¥‡à¤µ जयते GOVERNMENT DEBT 7 STATUS PAPER DECEMBER 2014 MINISTRY OF FINANCE DEPARTMENT OF ECONOMIC AFFAIRS BUDGET DIVISION, MIDDLE OFFICE NEW DELHI GOVERNMENT DEBT STATUS PAPER MINI....
X X X X Extracts X X X X
X X X X Extracts X X X X
....STRY OF FINANCE DEPARTMENT OF ECONOMIC AFFAIRS BUDGET DIVISION, MIDDLE OFFICE NEW DELHI DECEMBER 2014 अरà¥à¤£ जेटली वितà¥à¤¤, कारà¥à¤ªà¥‹à¤°à¥‡à¤Ÿ कारà¥à¤¯ à¤à¤µà¤‚ सूचना व पà¥à¤°à¤¸à¤¾à¤°à¤£ मंतà¥à¤°à¥€ à¤à¤¾à¤°à¤¤ सतà¥à¤¯à¤®à¥‡à¤µ जयते Arun Jaitley Minister of Finance, Corporate Affairs and Information & Broadcasting India FOREWORD Since 2010 the Central Government has been bringing out an annual Status Paper on public debt that provides a detailed analysis of the overall debt situation of the country. This paper reiterates the Government's commitment to fiscal consolidation, apart from enhancing transparency by providing a detailed account of debt operations and providing an assessment of the health of the public debt portfolio. 2. This Status Paper, the fourth in the series, covers the debt position of the consolidated government, as at end-March 2014. It also includes a detailed ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....discussion on state government debt. There is also a more nuanced assessment on aspects of debt sustainability. 3. The overall liabilities of the Central Government are on a medium-term declining trajectory with low roll-over risk, notwithstanding the slight increase in a couple of years in recent past, due to stimulus spending in the wake of the global financial crisis. The share of public account liabilities in the total liabilities of the General Government are also on a declining trend. The Average Interest Cost, which is stable and well below nominal GDP growth rate, indicates that India is comfortably placed in terms of sustainability parameters of public debt. 4. The Government's debt portfolio is characterized by prudent risk profile with share of short- term debt within safe limits. Most of the debt is of domestic origin insulating the debt portfolio from currency risk. The limited external debt is almost entirely from official sources on concessional terms, providing safety from volatility in the international financial markets. The relatively long maturity of debt and its predominantly fixed-coupon character point to low roll-over and interest rate risks. ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....5. I hope that this paper is eventually relied upon by academics, policy economists, students, rating agencies and the general public as a comprehensive and reliable source of information on India's public debt. New Delhi December 16, 2014 приз (ARUN JAITLEY) राजीव महरà¥à¤·à¤¿ वितà¥à¤¤ सचिव Rajiv Mehrishi Finance Secretary à¤à¤¾à¤°à¤¤ सरकार वितà¥à¤¤ मंतà¥à¤°à¤¾à¤²à¤¯ आरà¥à¤¥à¤¿à¤• कारà¥à¤¯ विà¤à¤¾à¤— Government of India Ministry of Finance सतà¥à¤¯à¤®à¥‡à¤µ जयते Department of Economic Affairs PREFACE The Middle Office brings out an annual Status Paper on Government Debt. Present paper is Fourth in the series. It attempts to consolidate all the relevant information on Government Debt in one publication and to benchmark the efficiency of India's Public Debt Management on internationally accepted debt performance indicators. It also offers a preview to ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....the way forward besides addressing the concern on debt sustainability. The paper gives the composition of overall debt of the country, including the debt of the States, as the Constitution of India charges the Central Government with managing the debt of the entire country (Article 293). Unlike most countries, currently public debt (domestic) of the government is managed by RBI. The Government is in process of setting up its own Public Debt Management Agency (PDMA), and the Middle Office is the one step towards this end. Marketable dated securities, which are issued domestically through open auction, finances more than three fourth of Government deficits. External Debt, mostly from multilateral agencies constitutes around five percent of India's General Government Debt. The country's debt is predominantly in fixed rate securities, insulating it from interest rate volatility, and low level of external debt, insulating country from volatilities of external sector. The indicators of debt sustainability, viz. debt level, cost of debt, maturity structure, indicate that debt profile of the country seems within sustainable limits, a reflection of the Government's commitment ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....to keep the level of public debt within sustainable limits. It is further being fine-tuned through active debt management practices such as debt switch and some buyback. The data for these are primarily sourced from Budget papers and RBI, CGA, AAAD publications besides drawing upon Middle Office's own collections. This Status Report is an outcome of the consistent efforts put in by officers working in the Middle Office under the Budget Division, Department of Economic Affairs, Ministry of Finance. Their contribution is acknowledged. New Delhi December, 2014 nie (Rajiv Mehrishi) डॉ. रजत à¤à¤¾à¤°à¥à¤—व संयà¥à¤•à¥à¤¤ Dr. Rajat Bhargava, IAS Joint Secretary सतà¥à¤¯à¤®à¥‡à¤µ जयते à¤à¤¾à¤°à¤¤ सरकार वितà¥à¤¤ मंतà¥à¤°à¤¾à¤²à¤¯ आरà¥à¤¥à¤¿à¤• कारà¥à¤¯ विà¤à¤¾à¤— नारà¥à¤¥ बà¥à¤²à¤¾à¤•, नई दिलà¥à¤²à¥€-110001 Govern....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ment of India Minister of Finance Department of Economic Affairs North Block, New Delhi - 110001 Tel.: 23093183 Fax: 23093133 E-mail: [email protected] PROLOUGE It gives me great satisfaction to place Fourth edition of the Annual Status Paper on Government Debt in public domain. The present Status Paper incorporates the latest Budget numbers of July, 2014 and updated with GDP numbers of May, 2014. The Status paper is divided in to five chapters detailing all major aspect of Public debt and covers General Government Debt through more than fifty five charts and tables. 2. Chapter One introduces some adjustments to outstanding debt to truly reflect the outcome of fiscal operation of Central Government. The total adjusted outstanding liabilities of Central Government amounted to Rs.52,61,451 crore or 46.3 per cent of GDP as at end-March, 2014. Chapter Two discusses each items of the Public Debt in detail. Public Debt amounting to Rs.46,24,780 crore, stood at 40.7 per cent of GDP as at end-March 2014. 3. All public moneys received by or on behalf of the Government of India, other than those which are for credit to the Consolidated Fund of India, are credited to th....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e Public Account of India¹. Chapter Three discusses each element of public account liabilities of Central Government. Public account liabilities, at Rs.6,36,671 crore at end-March 2014, constituted 5.6 per cent of GDP and has shown a steady decline since 2008-09. 4. General Government Debt² represents indebtedness of Government (Central and State Governments). Chapter Four gives a brief account of the debt profile of state governments, followed by a discussion of the General Government Debt. The analysis shows that Market borrowings, at 72.1 per cent at end-March 2013, have emerged as the major source of financing for States. General Government Debt amounted to Rs.74,14,861 crore or 65.3 per cent of GDP at end-March 2014. Chapter Five attempts an assessment of the debt profile of the Government in terms of cost and risk characteristics. The risk profile of India's Government debt stands out as safe and prudent in terms of internationally accepted parameter. The soft version of the Status Paper has also been hosted at Ministry of Finance website (finmin.nic.in) and is accessible to all users. I call upon all stakeholders, including academician and scholars, to g....
X X X X Extracts X X X X
X X X X Extracts X X X X
....race us with their valauble feedback on [email protected]. New Delhi December, 2014 зама (Rajat Bhargava) 1. clause (2) of Article 266 of the Constitution of India. 2. GG debt arrived at by consolidating debt of the Central Government and State governments, netting out inter- governmental transactions (i) investment in T-Bills by States which represent lending by states to the Centre; and (ii) Centre's loans to States. Contents No. Page No. Chapters Description -2345 1. Introduction 2. Public Debt 3. Public Account Liabilities 4. General Government Debt 5. -7222 19 23 29 1.1 1.2 Assessment, Emerging Issues and Road Ahead Tables Adjustments to the Reported Debt of the Central Government Debt Position of the Central Government (* crore) 1.3 Debt Position of the Central Government (% of GDP) 1.4 General Government Liabilities 2.1 Share of Public Debt in Total Liabilities 2.2 Components of Internal Debt 234678 2.3 Outstanding Marketable Dated Securities 9 2.4 2.5 Maturity Profile of Outstanding Dated Securities - Central Government Maturity Trend of Dated Securities 10 10 2.6 Maturity and Yield of Central Government's Market....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... Loans 11 2.7 2.8 Ownership Pattern of Government of India Dated Securities Outstanding Treasury Bills 12 14 2.9 Trends in External Debt 16 2.10 Composition of External Debt 16 2.11 Currency Composition of External Debt 17 3.1 Public Account Liabilities of the Central Government 19 3.2 Liabilities and Assets of NSSF 20 3.3 State Provident Funds 20 3.4 Special Securities Issued in Lieu of Subsidies 21 3.5 Advances 21 3.6 Reserve Funds 22 3.7 4.1 Deposits - Interest Bearing and Not Interest Bearing Financing of Gross Fiscal Deficit 22 4.2 Liability Position of State Governments (* crore) 24 4.3 Liability Position of State Governments (% of GDP) 4.4 Composition of Other Liabilities of State Governments 26 4.5 4.6 State Government Debt Adjusted for Investment in Treasury Bills General Government Liabilities 26 27 5.1 Short-term Debt of the Central Government 29 5.2 Short-term Debt of the State Governments 31 5.3 5.4 5.5 Short-term Debt of General Government Floating Debt of the Central Government Debt-GDP Ratio of the Centre (per cent) (i) 2222222-233 25 37 No. 1.1 2.1 2.2 2.3 2.4 Description Charts Trends in....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... General Government Liabilities Trends in Public Debt Yield and Maturity of Primary Issuances Outstanding Treasury Bills 14 Days Intermediate Treasury Bills Page No. 6 7 11 14 14 4.1 Liabilities of the State Governments 24 4.2 Trends in General Government Liabilities 27 5.1 Composition of Short-term Debt of the Centre 30 5.2 5.3 5.4 Short-term Debt under Dated Securities of the Centre Composition of Short-term Debt of States Short-term Debt of General Government under Market Loans 30 31 32 5.5 Maturity Profile of Central Government Dated Securities 33 5.6 External Debt of the Government 34 5.7 Ownership Pattern of Central Government Securities 35 5.8 Holding Pattern of Government Securities 35 5.9 5.10 Trends in Debt-GDP Ratio of the Government 37 Interest Payments to Revenue Receipts Ratio 37 5.11 5.12 Average Interest Cost (AIC) and Nominal GDP Growth Differences between GDP Growth & Centre AIC vis-a-vis Centre's Primary Deficit 38 38 Boxes 5.1 Anticipated Government Debt structure over the next three years 36 Annex I Debt Position of the Central Government 43 II Statement Showing Maturing Profile of Market Loans incl....
X X X X Extracts X X X X
X X X X Extracts X X X X
....uding Floating Rate Bonds (FRBs), Converted Special Securities and Special Securities as on 31st March 2014 44 III Statement Showing Weighted Average Rate of Interest (Maturity year wise) on Market Loans including Floating Rate Bonds (FRBs), Converted Special Securities and Special Securities as on end-March 2014 45 IV List of Government of India Securities Outstanding on March 31, 2014-Maturity Year wise V List of Government of India Securities Outstanding on March 31, 2014- Interest Rate wise 46 40 46 49 VI List of Government Securities Issued to NSSF Outstanding on March 31, 2014 51 VII VIII Interest Rate on Various Small Savings Instruments Donor-wise Sovereign External Debt IX Currency Composition of Sovereign External Debt SSSS 52 53 54 (ii) 1 1 Introduction In the Budget speech for 2010-11, Hon'ble Finance Minister proposed to bring out a status paper giving detailed analysis of the government's debt situation and a road map for curtailing the overall public debt. He also announced that this paper would be followed by an Annual Report on the subject. Accordingly, a paper on public debt was brought out by the government during 2010....
X X X X Extracts X X X X
X X X X Extracts X X X X
....-11 followed by Annual Status Papers in 2011-12, 2012- 13 and 2013-14. The Status Paper consolidates general government debt into a single publication. The present Status Paper for 2014-15 is fourth in this series and reinforces the Government's commitment to keep the level of public debt within sustainable limits and follow prudent debt management practices. The objective of debt management policy is to mobilise borrowings with long-term cost efficiency subject to prudent levels of risk in the debt portfolio. It is also an objective to develop a liquid and well functioning domestic debt market. I. Central Government Liabilities Central Government liabilities include debt contracted in the Consolidated Fund of India (defined as Public Debt) as well as liabilities in the Public Account. These liabilities as reported in the budget documents and finance accounts of the Central Government are shown in Annex 1. Adjustment to Reported Central Government Debt Total liabilities' reported in the budget documents of the Central Government need to be adjusted so that the outstanding debt truly reflects the outcome of fiscal operations of the Central Government. The ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....details of these adjustments were discussed in the Status Paper for 2010-11, which are briefly explained below: (i) Market Stabilisation Scheme (MSS) - Securities are issued under MSS (bonds as wells as bills) with the objective of sterilising the exchange market intervention of the Reserve Bank of India (RBI). The proceeds of the issuance are not used to fund the Central Government budget, but sequestered in an account maintained with the RBI. The sequestered funds are used to redeem MSS securities on maturity. The interest/discount burden on these securities is, however, borne by the Central Government. Thus, MSS securities are purely monetary instrument and not the consequence of fiscal operations. Besides, their redemption requirement is fully provided for in cash. Therefore, debt raised under MSS is netted out of Central Government debt. (ii) External debt - External debt is reported at historical exchange rates in the budget documents which don't capture the impact of exchange rate movements on liabilities reported in domestic currency. Therefore, external debt is shown at current (end-of- year) exchange rates. (iii) Liabilities under National Sm....
X X X X Extracts X X X X
X X X X Extracts X X X X
....all Savings Fund (NSSF): The accumulated balance in NSSF (collections net of withdrawals) is invested in special securities of States and the Central Government as per prevailing norms. The borrowing from NSSF by the Central Government for financing its deficit is shown under public debt. The borrowing from NSSF by States is shown under public account liabilities of the Central 'Liabilities' includes both public debt and Public Account liabilities unless specified otherwise. The words liabilities' and 'debt' are used interchangeably in the paper. Government Debt: Status Paper Government. The latter is netted out so that total liabilities of the Central Government reflect the outcome of its own fiscal operations. These adjustments in Central Government debt is shown in Table 1.1. At end-March 2014², total outstanding liabilities of Central Government amounted to 46.3 per cent of GDP. Accordingly, any reference to total outstanding liabilities of Central Government in this Paper means total adjusted outstanding liabilities of Central Government, as appearing in Table 1.1. Table 1.1 : Adjustments to the Reported Debt of the Central Government (in crore) A....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ctuals Provisional Estimates Components 2008-09 2009-10 2010-11 2011-12 2012-13 1 2 3 4 GDP (Market Price, 2004-05) 5630063 6477827 7784115 9009722 6 10113281 RE 2013-14 2014-15 7 8 11355073 12876653 BE 1. Total Liabilities as 3159178 3529960 3938774 4517252 5070592 5587449 6222658 Reported in Budget %age of GDP 56.1 54.5 50.6 50.1 50.1 49.2 48.3 2. MSS Debt 88773 2737 0000 20000 %age of GDP 1.6 0.0 0.0 0.0 0.0 0.0 0.2 3. External Debt at 123046 134083 157639 170088 177289 182729 188463 Historical Rates %age of GDP 2.2 2.1 2.0 1.9 1.8 1.6 1.5 4. External Debt at 264059 249306 278,877 322,897 332,004 374,483 382,622 Current Rates %age of GDP 4.7 3.8 3.6 3.6 3.3 3.3 3.0 5. Securities issued by 460056 482762 526063 517277 517221 517752 512954 States to NSSF %age of GDP 8.2 7.5 6.8 5.7 5.1 4.6 4.0 6. Total Adjusted 2751363 3159683 3533950 4152784 4708085 5261451 5883862 Liabilities (1-2-3+4-5) %age of GDP 48.9 48.8 45.4 46.1 46.6 46.3 45.7 The effective liability position of the Central Government after making the above adjustments, in nominal terms and relative to GDP,....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... is presented in Table 1.2 and Table 1.3, respectively. A major portion of the outstanding debt is of domestic origin. Internal debt constituted 91.9 per cent of 2 public debt at end-March 2014while external debt constituted the remaining 8.1 per cent. Public debt accounts for 87.9 per cent of total liabilities, while public account liabilities constitute remaining 12.1 per cent, at the end of March 2014. Figures for end-March 2014 pertain to revised estimates (RE) for Central Government and budgets estimates (BE) for State governments. General government debt at end-March 2014 includes RE of Centre and BE of States. 2 Table 1.2: Debt Position of the Central Government Actuals Provisional Introduction (in crore) Estimates Components RE BE 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 1 2 3 4 5 6 7 8 A. Public Debt (A1+A2) 2203836 2583616 2954700 3553519 4096570 4624780 5134224 A1. Internal Debt (a+b) 1939776 2334310 2675823 3230622 3764566 4250297 4751602 a. Marketable Securities (i+ii) 1575036 1966687 2292428 2860805 3360932 3858187 4353945 (i) Dated Securities 1433720 1832145 2157559 2593770 3061127 3515028 3976233 (i....
X X X X Extracts X X X X
X X X X Extracts X X X X
....i) Treasury Bills 141316 134542 134869 267035 299805 343159 377712 b. Non-marketable Securities (i to v) 364740 367623 383395 369817 403635 392109 397657 (i) 14 Day Intermediate T-Bills 98663 95668 103100 97800 118380 97704 97704 (ii) Compensation & Other Bonds 48996 40221 32495 20208 15326 15010 14119 (iii) Securities issued to Intl. Fin. 23085 24483 29315 29626 32226 30088 28299 Institutions (iv) Securities against small savings 193997 207252 218485 208183 216808 228413 236641 (v) Special Sec. against POLIF 0 0 0 14000 20894 20894 20894 A2. External Debt * 264059 249306 278877 322897 332004 374483 382622 B. Other Liabilities(a to d) 547527 576068 579249 599265 611516 636671 749638 (a) National Small Savings Fund 10085 38432 42552 64734 80516 104383 134067 (b) State Provident Fund 83377 99433 111947 122751 133672 143672 155672 (c) Other Account 325383 318749 295989 277904 257424 234992 296999 (d) Reserve funds & Deposit (i+ii) 128682 119453 128762 133877 139904 153625 162901 (i) Bearing Interest 78384 72875 70421 74413 83871 96133 106543 (ii) Not bearing interest 50298 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....46578 58340 59464 56033 57492 56358 C. Total Liabilities (A+B) 2751363 3159683 3533950 4152784 4708085 5261451 5883862 Memo Items I. Securities under MSS (a+b) 88773 2737 0 0 0 0 20000 (a) Dated Securities 79773 2737 0 0 0 0 20000 (b) Treasury Bills 9000 0 0 0 0 0 0 II. External Debt (Historical Rates) 123046 134083 157639 170088 177289 182729 188463 III. Sec. issued by States to NSSF 460056 482762 526063 517277 517221 517752 512954 IV. Total Liab. (C+I+II+III-A2) (as in Budget Documents) 3159178 3529960 3938774 4517252 5070592 5587449 6222658 * The external debt figures at current exchange rates are taken from Union Govt. Finance Accounts. For 2014-15 (BE), the Net external assistance in 2014-15 has been added to outstanding stock at end-March 2014. 3 Government Debt : Status Paper Table 1.3: Debt Position of the Central Government (in %age of GDP) Actuals Provisional Estimates Components RE BE 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 1 2 3 4 5 6 7 8 A. Public Debt (A1+A2) 39.1 39.9 38.0 39.4 40.5 40.7 39.9 A1. Internal Debt (a+b) 34.5 36.0 34.4 35.9 37.2 37.4 36.9 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... a. Marketable Securities (i+ii) 28.0 30.4 29.5 31.8 33.2 34.0 33.8 (i) Dated Securities 25.5 28.3 27.7 28.8 30.3 31.0 30.9 (ii) Treasury Bills 2.5 2.1 1.7 3.0 3.0 3.0 2.9 b. Non-marketable Securities 6.5 5.7 4.9 4.1 4.0 3.5 3.1 (i to v) (i) 14 Day Intermediate 1.8 1.5 1.3 1.1 1.2 0.9 69 0.8 80 T-Bills (ii) Compensation & 0.9 90 0.6 Other Bonds (iii) Securities issued to 0.4 +0 +0 - 0.4 0.2 -0 10 60 ... 0.2 0.1 0.3 0.3 0.2 10 10 0.1 Intl. Fin. Institutions (iv) Securities against small savings (v) Special Sec. against POLIF A2. External Debt * 4.7 B. Other Liabilities(a to d) 9.7 (a) National Small Savings 0.2 00 0.0 222 00 0.0 00 0.0 3.8 3.6 8.9 7.4 0.6 0.5 0.2 -0 366 0.4 0.4 0.3 =4 3.4 3.2 2.8 2.3 2.1 2.0 220 1.8 0.2 0.2 0.2 60 3.6 3.3 6.7 6.0 0.7 0.8 0.9 302 3.3 3.0 5.6 5.8 1.0 Fund (b) State Provident Fund 1.5 1.5 1.4 1.4 1.3 1.3 (c) Other Account 5.8 4.9 3.8 3.1 2.5 2.1 2.3 (d) Reserve funds and 2.3 1.8 1.7 1.5 1.4 1.4 232 1.2 1.3 Deposit (i+ii) (i) Bearing Interest 1.4 1.1 0.9 0.8 0.8 0.8 0.8 (ii) Not bearing interest ....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 0.9 0.7 0.7 0.7 0.6 0.5 0.4 C. Total Liabilities (A+B) 48.9 48.8 45.4 46.1 46.6 46.3 45.7 #Owing to rounding off to higher decimal places, the individuals may not add up to exact percentage of Total. A brief description of the major components of total liabilities of the Central Government is given below. A. Public Debt A.1. Internal Debt Internal debt of the Central Government (42.5 trillion, 37.4 per cent of GDP at end-March 2014) largely consists of fixed tenor and fixed rate 4 market borrowings, viz., dated securities and treasury bills. As at end of March 2014, dated securities (35.15 trillion, 31 per cent of GDP) accounted for 76 per cent of public debt while the treasury bills (3.4 trillion, 3 per cent of GDP) accounted for 7.4 per cent of public debt. The remaining items in internal debt are securities issued to National Small Savings Fund (NSSF) (*2.3 trillion), securities issued to international financial institutions (*0.3 trillion) and compensation & other bonds (0.15 trillion) which together constituted 5.9 per cent of public debt. Central government also issues 14 day Intermediate Treasury Bills to State governments for providing....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... them an avenue to invest their surplus cash. At end-March 2014, outstanding amount under these bills was 0.98 trillion or 0.9 per cent of GDP accounting for 2.1 per cent of public debt. While treasury bills are issued to meet short-term cash requirements of the Government, dated securities are issued to mobilise longer term resources to finance the fiscal deficit. All marketable debt is issued through auctions. Issuance of securities is planned and conducted keeping in view the debt management objective of cost efficiency, prudent levels of risk and market development. Assessment of the market structure and market appetite for various maturities of debt influence and facilitate scheduling of debt issue. The weighted average maturity of dated securities stood at 14.3 years in 2013-14. Floating rate instruments constituted1 per cent of the public debt while short-term debt³ constituted 13 per cent of the public debt as on end-March, 2014. A.2. External Debt External debt (3.7 trillion, 3.3 per cent of GDP as at end-March 2014) constituted 8.1 per cent of the public debt of the Central Government. As State Governments are not empowered to contract external....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... debt, all external debt is contracted by the Central Government and those intended for state government projects are on-lent to States4. Most of the external debt is from multilateral agencies such as IDA, IBRD, ADB etc. A small proportion of external debt originates from official bilateral agencies. There is no borrowing from international private capital markets. The entire external debt is originally long-term and a major part is at fixed interest rates. B. Public Account Liabilities Liabilities in the Public Account (*6.4 trillion, 5.6 per cent of GDP at end of March 2014) include National Small Saving Fund (NSSF), provident Introduction funds, reserve funds and deposits, and other accounts. NSSF liabilities account for 16.6 per cent of public account liabilities, while reserve funds and deposits account for 24.1 per cent and state provident fund for 22.5 per cent. NSSF liabilities in the public account represent the total borrowings under small savings less the borrowings of the Central Government from NSSF (which is reckoned in public debt) and of State Governments. That is, it represents the net gain/loss in the NSSF. Liabilities under other account....
X X X X Extracts X X X X
X X X X Extracts X X X X
....s include special bonds issued to oil marketing companies, fertiliser companies, and FCI. At end-March 2014, these liabilities accounted for 36.8 per cent of public account liabilities. II. Fiscal Consolidation The Medium Term Fiscal Policy (MTFP) Statement presented along with the Union Budget 2014-15, estimated the ratio of total Central Government liabilities to GDP at 46 per cent at the end of March 2014, and 45.4 per cent at the end of March 2015. The ratio is projected to decline to 43.6 per cent of GDP by end of March 2016 and 41.5 per cent by end of March 2017. The MTFP statement also gave rolling targets for fiscal deficit. The Budget estimates 2014-15 targets fiscal deficit at 4.1 percent of GDP and 3.6 per cent for 2015- 16 and 3.0 per cent for 2016-17 in accordance with the FRBM guidelines. As seen in Table 1.3, total liabilities of the Central Government stood at 46.3 per cent of GDP at end-March 2014 against 46.6 per cent at end- March 2013 and 46.1 per cent at end-March 2012. III. General Government Debt General government debt represents the indebtedness of the Government sector (Central and State Governments). This is arrived at by consol....
X X X X Extracts X X X X
X X X X Extracts X X X X
....idating the debt of the Central Government and the State governments, netting out inter- governmental transactions viz., (i) investment in Treasury Bills by States which represent lending by states to the Centre; and (ii) Centre's loans to States (Table 1.4) Short-term debt is defined as debt with maturity of one year or less. Total short-term debt is, thus, the sum of outstanding treasury bills at end-March and repayments of dated securities due in the ensuing financial year 4 This would require necessary correction while computing the consolidated debt for the country to remove inter-government transactions. 5 This is net of NSSF and MSS liabilities not used for financing Central Governments' deficit and with external debt at current exchange rate. 5 Percent of GDP 90 80 70 60 50 40 30 20 10 2002-03 2003-04 2004-05 Centre 2005-06 2006-07 States Government Debt: Status Paper Table 1.4: General Government Liabilities Actuals Components 2008-09 2009-10 2010-11 2011-12 Provisional 2012-13 RE 2013-14 1. Total Liabilities of the Centre percentage of GDP 2751363 3159683 3533950 4152784 4708085 5261451 48.9 48.8 45.4 46.1 46.6 46.3 2. To....
X X X X Extracts X X X X
X X X X Extracts X X X X
....tal Liabilities of States percentage of GDP 1470190 1648650 1828970 1993940 2175250 2433270 26.1 25.5 23.5 22.1 21.5 21.4 3. Loans from Centre to States 143870 143152 144170 143548 144812 147384 percentage of GDP 2.6 2.2 1.9 1.6 1.4 1.3 4. States Invest in T- Bills of Centre 100900 92810 110690 117740 145700 132476 percentage of GDP 1.8 1.4 1.4 1.3 1.4 1.2 3976783 4572371 70.6 70.6 5. General Government Liabilities (1+2-3-4) percentage of GDP At end-March 2013, general government debt works out to be 65.2 per cent of GDP, representing a marginal decrease as compared to previous year of 65.3 per cent of GDP.. The broad declining trend in debt-GDP ratio is intact (Table 1.4). Trends in general government debt for a longer period is shown in Chart 1.1. 5108060 5885437 6592823 7414861 65.6 65.3 65.2 65.3 2007-08 2008-09 8 2009-10 Combined Chart 1.1: Trends in General Government Liabilities 2010-11 IV. Debt Sustainability The recent financial and debt crisis that originated in the developed world has brought into focus the importance of prudent fiscal management as well as debt management in assessing the vulnerabili....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ty of a Government's debt position. Any sustainability analysis in terms of primary surplus and growth-interest rate differential may not be adequate to assess the fiscal health of a Government. The cost and risk character of the debt stock is also important for determining the stability and vulnerability of public debt. Thus, 6 maturity profile of debt, its composition, cost, share of external debt, etc., are important parameters to assess sustainability. Public debt in India is largely funded through domestic savings, at fixed interest rate, with a domestic institutional investor base. These factors improve sustainability of debt in the long term. The long maturity profile of India's debt limits rollover risks. An assessment of the sustainability public debt in India in terms of some of these parameters is discussed in the final chapter of this Paper. 2011-12 2012-13 PA 2013-14 RE (in crore) 0 Percent of GDP 2003-04 10 2004-05 20 2005-06 30 2006-07 40 2 Public Debt Public Debt, stood at 40.7 per cent of GDP as at end-March 2014. It had shown a decline from 48.1 per cent of GDP in 2002-03 to 37.1 per cent in 2007-08 (Chart 2.1). This reduction....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... in public debt was on account of both fiscal consolidation as well as high rate of GDP growth. Since then the Public Debt/ GDP ratio is varying in a narrow range. Initially it increased marginally during 2008- 09 and in 2009-10 as fiscal deficit went up due to measures taken by the Government of India to counter the adverse impact of the global financial 50 crisis. In 2010-11, as growth recovered and fiscal deficit improved, public debt again declined to 38 per cent of GDP at end-March 2011. However, the increase in India's debt relative to GDP since 2007-08 was marginal and significantly lower than that of many other countries witnessed during this turbulent period. Further, as the firm commitment shown to the fiscal consolidation, Public debt is expected to decrease to 39.9 per cent of GDP at end-March 2015 as against 40.7 per cent at end- March 2014, restoring the long-term trend of decline in the ratio of public debt to GDP. Chart 2.1 : Trends in Public Debt 2007-08 2008-09 2009-10 Public Debt Marketable debt The share of marketable securities in total liabilities has gone up from 57.2 per cent in 2008- 09 to 73.3 per cent in 2013-14 and the share ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....of public debt in total liabilities has gone up from 80.1 Non-Marketable Debt per cent in 2008-09 to 87.9 per cent in 2013-14, reflecting the increased recourse to market related instruments for financing the fiscal deficit (Table 2.1). Table 2.1: Share of Public Debt in Total Liabilities in %age of Total Liabilities) Provisional Actuals Estimates Components 2008-09 2009-10 2010-11 2011-12 2012-13 RE 2013-14 BE 2014-15 1 2 3 4 5 6 7 8 A. Public Debt (A1+A2) 80.1 81.8 83.6 85.6 87.0 87.9 87.3 A1. Internal Debt (a+b) 70.5 73.9 75.7 77.8 80.0 80.8 80.8 a. Marketable Securities (i+ii) 57.2 62.2 64.9 68.9 71.4 73.3 74.0 (i) Dated Securities 52.1 58.0 61.1 62.5 65.0 66.8 67.6 (ii) Treasury Bills 5.1 4.3 3.8 6.4 6.4 6.5 6.4 b. Non-marketable Securities (i to v) 13.3 11.6 10.8 8.9 8.6 7.5 6.8 (i) 14 Day Intermediate Treasury Bills 3.6 3.0 2.9 2.4 2.5 1.9 1.7 (ii) Compensation & Other Bonds 1.8 1.3 0.9 0.5 0.3 0.3 0.2 (iii) Securities issued to International 0.8 0.8 0.8 0.7 0.7 0.6 0.5 Financial Institutions (iv) Securities against small savings 7.1 6.6 6.2 5.0 4.6 4.3 4.0 (v) Specia....
X X X X Extracts X X X X
X X X X Extracts X X X X
....l Sec. against POLIF 0.0 0.0 0.0 0.3 0.4 0.4 0.4 A2. External Debt 9.6 7.9 7.9 7.8 7.1 7.1 6.5 B. Other Liabilities 19.9 18.2 16.4 14.4 13.0 12.1 12.7 C. Total Liabilities (A+B) 100 100 100 100 100 100 100 7 2010-11 2011-12 2012-13 2013-14 RE 2014-15BE Government Debt: Status Paper A. Internal Debt Internal public debt of the Central Government at 37.4 per cent of GDP, constituted 91.9 per cent of public debt at end-March 2014 (Table 2.2). Marketable instruments (dated securities and treasury bills) constituted 90.8 per cent of internal public debt (83.4 per cent of public debt and 73.3 per cent of total liabilities) at the end of March 2014. Majority of these instruments are of fixed tenor and fixed rate. Non-marketable securities constituted 9.2 per cent of internal debt (8.5 per cent of public debt and 7.5 per cent of total liabilities) at end-March 2014. It consists of securities issued to NSSF, constituting 5.4 per cent of internal debt (4.9 per cent of public debt and 4.3 per cent of total liabilities), securities issued to international financial institutions at 0.7 per cent of internal debt (0.7 per cent of total publi....
X X X X Extracts X X X X
X X X X Extracts X X X X
....c debt and 0.6 per cent of total liabilities), POLIF at 0.5 per cent of internal debt (0.5 per cent of public debt and 0.4 per cent of total liabilities) and compensation another bonds at 0.4 per cent of internal debt (0.3 per cent of public debt and 0.3 per cent of total liabilities). Central Government also issues 14 day Intermediate Treasury Bills to the States governments to facilitate them investing their surplus cash. As at end-March 2014, outstanding amount under these non-marketable instruments at Rs. 97,704 crore constituted 2.3 per cent of internal debt (2.1 per cent of public debt and 1.9 per cent of total liabilities). Table 2.2: Components of Internal Debt 6 (in %age of Public Debt) Actuals Provisional Estimates Components 2008-09 2009-10 2010-11 2011-12 2012-13 RE 2013-14 BE 2014-15 1 2 3 4 5 6 7 8 Internal Debt (a+b) 88.0 90.4 90.6 90.9 91.9 91.9 92.5 a. Marketable Securities (i+ii) 71.5 76.1 77.6 80.5 82.0 83.4 84.8 (i) Dated Securities 65.1 70.9 73.0 73.0 74.7 76.0 77.4 (ii) Treasury Bills 6.4 5.2 4.6 7.5 7.3 7.4 7.4 b. Non-marketable Securities 16.6 14.2 13.0 10.4 9.9 8.5 7.7 (i to v) (i)....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 14 Day Intermediate Treasury 4.5 3.7 3.5 2.8 2.9 2.1 1.9 Bills (ii) Compensation & Other Bonds 2.2 1.6 1.1 0.6 0.4 0.3 0.3 (iii) Securities issued to 1.0 0.9 1.0 0.8 0.8 0.7 0.6 International Financial Institutions (iv) Securities against small 8.8 8.0 7.4 5.9 53 5.3 4.9 4.6 savings (v) Special Sec. against POLIF 0.0 0.0 0.0 0.4 0.5 0.5 0.4 Memo Items I. Securities Issued under MSS (a+b) 4.0 10 0.1 00 0.0 0.0 00 0.0 00 0.0 0.4 (a) Dated Securities (b) Treasury Bills 3.6 0.1 0.0 0.0 0.0 0.0 0.4 0.4 0.0 0.0 0.0 0.0 0.0 0.0 00 8 Debt contracting under Consolidated Fund of India from domestic lenders i.e., debt excluding MSS issuance, external debt and public account liabilities. Public Debt The following sections provide details of various components of internal debt. a. Market Loans - Dated Securities Dated securities are the predominant instruments used for financing the fiscal deficit. They are issued through auctions as per two half- yearly issuance calendars covering April-September and October-March, respectively, every financial year. The share of dated securities in public debt has been gr....
X X X X Extracts X X X X
X X X X Extracts X X X X
....adually increasing over the years. It increased from 73.0 per cent at end-March 2012 to 74.7 percent at end-March 2013 and further to 76 per cent at end-March 2014, underscoring the increasing reliance on dated securities to finance the budget deficit and the gradual shift away from non-marketable instruments. Apart from issuance to finance fiscal deficit, dated securities have also been issued in conversion of (i) securities created in the past in lieu of ad hoc treasury bills (process completed in 2003-04) and (ii) recapitalisation bonds issued to nationalised banks, (completed in 2007- 08). A breakup of the stock of dated securities (excluding of IIBS, *.6500 cr) is given in Table 2.3. Table 2.3: Outstanding Marketable Dated Securities (in crore) Actuals Provisional Estimates Components 2008-09 2009-10 2010-11 2011-12 2012-13 1 2 (i) Issued through Borrowings 3 1326094 1734518 2059932 2496144 4 5 6 RE BE 2013-14 2014-15 7 8 2963500 3421402 3887606 (ii) Conversion of 86818 76818 76818 76818 76818 72818 67818 Special Securities issued in lieu of ad-hoc Bills (iii) Conversion of 20809 20809 20809 20809 20809 20809 20809 recapi....
X X X X Extracts X X X X
X X X X Extracts X X X X
....talisation bonds issued to nationalised Banks Total Dated Securities (i to iii) 1433720 1832145 2157559 2593770 3061127 3515028 3976233 Percentage of Internal Pub. Debt 73.9 78.5 80.6 80.3 81.3 82.7 83.7 Percentage of Public Debt 65.1 70.9 73.0 73.0 74.7 76.0 77.4 Percentage of Total 52.1 58.0 61.1 62.5 65.0 66.8 67.6 Liabilities Percentage of GDP 25.5 28.3 27.7 28.8 30.3 31.0 30.9 Memo: MSS Securities 79773 2737 0 0 0 0 20000 During 2013-14, net borrowing through dated securities was 4,53,902 crores and it financed 86.5 per cent of the fiscal deficit (Rs.5,24,539 crores). The actual borrowings during 2013-14 were less than the budget estimate of Rs.4,84,000 crores, enabled by better fiscal management. 9 Government Debt: Status Paper Maturity Profile of Dated Securities The tenor of dated securities goes up to 30 years. While it has generally been the endeavour to elongate the maturity profile, the tenor of new issuances is a function of acceptable roll over risk as well as market appetite across various maturity segments. During 2013-14 there was an increase in the share of debt with maturity10 years and above (T....
X X X X Extracts X X X X
X X X X Extracts X X X X
....able 2.4). While the weighted average maturity of dated securities issued during 2013-14 increased to 14.2 years from 13.5 years in 2012-13 and 12.7 years in 2011-12, the weighted average maturity of outstanding stock of dated securities at the end of 2013-14 increased to 10 years from 9.7 years as at end-March 2013 and 9.6 years as at debt maturing in less than 5 years witnessed end-March 2012 (Table 2.6). The proportion of decrease during 2013-14, and it remained around 30 per cent, indicating a relatively low roll-over risk in medium-term. Table 2.4: Maturity Profile of Outstanding Dated Securities-Central Government Maturity Bucket 1 Less than 1 year 1-5 Years 5-10 Years 10-20 Years 20 years and above The redemption profile of outstanding government securities in the next 5 years at end- March 2014 is given in Table 2.5. The redemption obligation increases noticeably during 2014-15 through 2017-18 but decreases in 2018-19. Notwithstanding this increase, on an average, about 6.0 per cent of outstanding stock matures annually, over the next 5 years. Switches and buyback for End-March 2014 End-March 2013 2 3 (percentage of total outstanding) 3.95 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....3.1 25.99 27.9 31.53 35.0 25.2 22.9 13.34 11.2 an aggregate amount of Rs.46,590 crore were conducted successfully last year as there is demand from long term investors. Budget 2014-15 also proposed switches and buyback for another Rs.50,000 crore, which is expected to be completed smoothly in current market environment. This places the portfolio in a comfortable position in terms of rollover risk. Table 2.5: Maturity trend of dated securities 2014-15 1 2 2015-16 3 2016-17 2017-18 2018-19 Maturity during year(in Rs. crore) 138795 181877 4 231130 5 256774 6 243478 Percentage of outstanding stock* 3.95 5.18 6.58 7.31 6.93 Percentage of GDP# (12876653 crore, 2014-15) 1.08 1.25 1.40 1.37 1.14 *Outstanding as on 31 March, 2014, # Nominal GDP growth assumed at 13.4% from 2015-16 onwards. The details of maturity and yield of Central Government's dated securities in the recent years are given in Table 2.6. Further details of maturity profile are given at Annex II. 10 Public Debt Table 2.6: Maturity and Yield of Central Government's Market Loans Issues during the year Outstanding Stock Weighted Weighted Weighted Weighted Year Av....
X X X X Extracts X X X X
X X X X Extracts X X X X
....erage Average Average Average Yield (%) Maturity (yrs) Coupon (%) Maturity (yrs) 1 2 3 4 5 2004-05 6.11 14.13 8.79 9.63 2005-06 7.34 16.90 8.75 9.92 2006-07 7.89 14.72 8.55 9.97 2007-08 8.12 14.90 8.50 10.59 2008-09 7.69 13.81 8.23 10.45 2009-10 7.23 11.16 7.89 9.67 2010-11 7.92 11.62 7.81 9.64 2011-12 8.52 12.66 7.88 9.60 2012-13 8.36 13.50 7.97 9.66 8.39 14.22 7.98 10.0 2013-14 While the weighted average maturity of securities issued during 2013-14 increased to 14.22 years from 13.5 years in 2012-13, the weighted average yield also increased marginally to 8.39 from 8.36 per cent in 2012-13. The average yield is largely a function of the interest rate environment and to a much lesser extent, on the shape of the yield curve. Chart 2.2 depicts the yield and maturity of dated securities issued during the year since 1997-98. Chart 2.2: Yield and Maturity of Primary Issuances 18 15 12 6 6 3 Yield (%) -Maturity (Yrs) 11 Government Debt: Status Paper Ownership pattern Ownership pattern of dated securities indicates a gradual broadening of market over time. The share of commercial banks (including banks ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....that are primary dealers) had dropped from 50.9 per cent in March 2008 to 44.5 per cent in March 2014. Over the financial year 2013-14, the share of RBI decreased from 17 per cent to 16.1 per cent while that of insurance companies went up from 18.6 per cent to 19.5 per cent. Table 2.7: Ownership Pattern of Government of India Dated Securities (Per cent) Category/end-March 2008 2009 2010 2011 2012 2013 2014 1 2 3 4 5 6 7 8 Commercial Banks 42.51 38.85 38.03 38.42 36.28 34.5 35.42 Bank-Primary Dealers 8.41 8.05 9.22 8.61 9.83 9.36 9.04 Non-Bank PDs 0.34 0.29 0.14 0.11 0.10 0.11 0.11 Insurance Companies 24.78 23.20 22.16 22.22 21.08 18.56 19.54 Mutual Funds 0.79 0.82 0.40 0.18 0.17 0.68 0.78 Co-operative Banks 3.22 2.92 3.35 3.41 2.98 2.81 2.76 Financial Institutions 0.41 0.41 0.35 0.35 0.37 0.75 0.72 Corporates 3.48 4.72 2.99 1.94 1.38 1.14 0.79 FIIS 0.52 0.24 0.59 0.97 0.88 1.61 1.68 Provident Funds 6.38 6.59 6.76 7.06 7.45 7.37 7.18 RBI 4.78 9.71 11.76 12.84 14.41 16.99 16.06 Others 4.37 4.20 4.24 3.89 5.07 6.12 5.92 Total 100 100 100 100 100 100 100 Sour....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ce: Monthly Bulletin, RBI, issues of various quarters. Rounding off may affect the total. Note: (1) Government of India dated securities includes securities issued under Market Stabilisation Scheme and the Special Securities like bonds issued to the Oil Marketing Companies, etc. (2) The data is provisional in nature and subject to revisions. The information on category-wise outstanding amounts of Government Securities is disseminated on an annual basis through the Handbook of Statistics on the Indian Economy published by the Reserve Bank of India. Coupon Rate on Dated Securities Most of the dated securities carry fixed rate of interest. However, there is a small proportion of floating rate instruments such as Floating Rate Bonds (FRBs) and Inflation Indexed Bonds (totalling 1.3 per cent of dated securities at end- March 2014) whose coupon is benchmarked to treasury bill yields and inflation index respectively. The weighted average coupon of dated securities (including variable rate bonds) was 7.98 per cent at end-March 2014, up from 7.97 per cent at end-March 2013. Dated securities are listed in Annex IV. At the end of March 2014, 11 per cent of existing dated 1....
X X X X Extracts X X X X
X X X X Extracts X X X X
....2 securities have fixed coupon rate of up to 7 per cent; 31.3 per cent carry coupon rate of more than 7 per cent and up to 8 per cent; 49.6 per cent carry coupon rate of above 8 per cent and up to 9 per cent; and 8.1 per cent of total dated securities carry coupon rate of more than 9 per cent. Thus, 42.3 per cent of total outstanding dated securities carried a coupon rate up to 8 per cent. Public Debt b. Treasury Bills Treasury bills are discounted instruments which help the government in managing its short term cash flow mismatches. They also provide short term investment instruments for the market and play the role of money market benchmarks. Treasury bills are issued for 91, 182, and 364 days. While 91- days treasury bills are auctioned every week, 182 and 364 days treasury bills are auctioned every fortnight. Auction calendars for treasury bills are announced quarterly. Non-market 14-day intermediate treasury bills (ITBS) are issued to state governments and some central banks. This section analyses the marketable treasury bills while ITBs are analysed in a separate section. Treasury Bills have a marginal contribution in financing fiscal deficit. Large ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....unanticipated increase in deficit, compared to budget estimates, in 2008- 09 and 2011-12 necessitated higher use of bills to fund the fiscal deficit. The increase in stock of bills during these years is shown in Table 2.8. Table 2.8: Outstanding Stock of Treasury Bills (in crore) Actuals Provisional Estimates Components RE BE 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 1 2 3 4 5 6 7 8 91 Day Treasury Bills 75595 71549 70391 124656 105142 136267 150721 182 Day Treasury Bills 20175 21500 22001 52001 64196 69985 69985 364 Day Treasury Bills 45546 41493 42478 90378 130467 136908 157007 Total Outstanding Treasury Bills 141316 134542 134869 267035 299805 343159 377712 Percentage of Internal Pub. Debt 7.3 5.8 5.0 8.3 8.0 8.1 7.9 Percentage of Public Debt 6.4 5.2 4.6 7.5 7.3 7.4 7.4 Percentage of Total Liabilities 5.1 4.3 3.8 6.4 6.4 6.5 6.4 Percentage of GDP 2.5 2.1 1.7 3.0 3.0 3.0 2.9 Memo: issued under MSS 91 Day Treasury Bills 0 0 0 0 0 0 0 182 Day Treasury Bills 0 0 0 0 0 0 0 364 Day Treasury Bills 9000 0 0 0 0 0 0 Total Outstanding Treasury Bills -MSS 9000 0 0 0 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 0 0 0 Stock of treasury bills has come to stabilize after gradually increased from 2.5 per cent of GDP in 2008-09 to 3.02 per cent at end-March 2014 (Chart 2.3). Treasury bills account for 6.4 per cent of total liabilities (7.4 per cent of public debt) at end-March 2014. 13 crore Government Debt : Status Paper 400000 350000 300000 250000 200000 150000 Chart 2.3: Outstanding Treasury Bills 3.50 3.00 2.50 2.00 1.50 100000 0.50 50000 0 0.00 06 07 08 09 2005- 2006- 2007- 2008- 2009- 2010- 2011- 2012- 10 11 12 2013- 2014- 13 14 (RE) 15(BE) 1.00 Outstanding Treasury Bills c. 14 Day Intermediate Treasury Bills 14-days Intermediate Treasury Bills (ITBS) are non-marketable instruments issued to the State Government (and a few central banks) to enable them to deploy their short term cash surplus. The surplus cash balance of a state government is automatically invested in these instruments. Conversely, a negative cash position of a state Government is financed first by rediscounting Outstanding T-Bills % of GDP (Right Scale) existing investment in these instruments. These instruments carry a fixed yield of 5 per cent per annum (rediscounti....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ng at 4 per cent per annum). Significant accumulation of surplus cash with states during the last 6-7 years is reflected in increased investment in 14-day ITBs. Investment of States in these instruments went up from Rs.7,253 crore at end-March 2004 to 97,704crore at end-March 2014 (Chart 2.4). Chart 2.4: 14 Days Intermediate Treasury Bills 2.00 1.80 1,25,000 1,05,000 1.60 1.40 1.20 1.00 85,000 * Crore 65,000 45,000 25,000 5,000 2004-05 2012-13 2011-12 2010-11 2009-10 2008-09 2007-08 2006-07 2005-06 amount (crore) 0.80 per cent of GDP 0.60 0.40 0.20 Although this instrument was intended for deployment of temporary cash surpluses of States, over the years, investment under this instrument has become durable in nature. Being automatic instruments, Central Government has practically no control over the accumulation of this instrument. 14 %age of GDP (right scale) Being inter-governmental transactions, however, these instruments have little importance from a consolidated general government debt perspective. From a debt management perspective, however, if there is sharp decline in investment in these instruments, the impact on Centre's c....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ash management might be significant. 2014-15(BE) 2013-14 (RE) 0.00 percent of GDP Public Debt d. Cash Management Bills During 2009-10 a new short-term instrument, known as Cash Management Bills (CMBS) was introduced to meet unanticipated cash flow mismatches of the Government. CMBS are non- standard, discounted bills issued with a maturity of less than 91 days. The tenor, notified amount and date of issue of this instrument depend upon the cash requirements of the Government. As CMBs are generally repaid in the same financial year, they do not finance the budget deficit. During 2011-12, government had to actively use this instrument to meet cash shortages due to higher direct tax refunds in the beginning of the financial year and shortfall in small savings collection during the year. No CMBS were issued in 2012- 13, however, CMBS amounting to an aggregate amount of 107195 crore were issued in 2013-14. e. Securities issued to International Financial Institutions These securities are issued to International Monetary Fund, International Bank for Reconstruction and Development, International Development Association, Asian Development Bank, African Develop....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ment Fund & Bank and International Fund for Agricultural Development. These special securities are issued primarily towards India's subscriptions/contributions to these institutions; i. ii. 111. Special Drawing Rights (SDRs) for subscribing to India's quota increase in the IMF; Reserve Bank's sterilisation needs. They were issued for the first time in 2004-05. Detail of the Scheme was given in earlier Status Papers. There was no requirement for issuance of securities under the scheme in recent years after outstanding securities matured by the end of 2009-10. As discussed earlier, the proceeds of the issuance is not used to fund the Central Government budget, but is sequestered in an account maintained with the RBI. The funds are eventually used to meet redemption of such securities. g. Compensation and other Bonds This category includes various types of special purpose bonds issued in the past by the Central Government. Some of these bonds were also open for retail subscription. These bonds carry fixed rates of interest. The importance of this component has declined from Rs.63,585 crore in 2006-07 amounting been reducing over the years. Their stock has ....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... to 1.5 per cent of GDP to Rs.15,010 crore at the end of March 2014 amounting to 0.1 per cent of GDP. They account for 0.3 per cent of public debt at end-March 2014, down from 0.4 per cent at end- March 2013. h. Securities against small savings (National Small Saving Fund) All collections under small savings schemes are credited to the National Small Savings Fund (NSSF), established in the Public Account of India with effect from 1.4.1999. Accumulated liabilities at the inception of NSSF (Rs.1,76,221 crore) were borne by the Central Government, of which *64,569 crore Maintenance of value obligations to IMF, amounting to 0.6 per cent of GDP was outstanding and as at end-March 2014. All withdrawals as well as iv. Purchase transactions under the Financial interest payments are made out of the Transaction Plan. These liabilities are non-interest bearing in nature. The total outstanding value of these rupee securities issued to International Financial Institutions as at the end of March 2014 is Rs.30,088 crore, decrease from 32,226 crore as at end-March 2013. They account for 0.7 per cent of public debt and 0.6 per cent of total liabilities of the Central Gover....
X X X X Extracts X X X X
X X X X Extracts X X X X
....nment. or 0.3 per cent of GDP, showing a marginal accumulations in this Fund. The balance amount after withdrawal is invested in States' and Central government special securities as per norms decided from time to time by the Central Government. At end-March 2014, the outstanding liabilities of the Central government to NSSFwas *2.28 trillion amounting to 4.9 per cent of public debt and 4.3 per cent of total liabilities. Outstanding securities issued against fresh loans out of net collections in various years amounted to 0.37 trillion and f. Market Stabilisation Scheme securities issued against redemption amounted to (MSS) Securities (bonds and bills) issued under the Market Stabilization Scheme are to facilitate 1.30 trillion at end-March 2014. The details of existing special securities with applicable interest rates are shown in Annex VI. 15 Government Debt: Status Paper B. External Debt Under Article 292 of the Constitution of India, the Central Government may borrow from within as well as outside the territory of the Country. The Central Government receives external loans largely from multilateral agencies and to some extent from foreign countries also....
X X X X Extracts X X X X
X X X X Extracts X X X X
..... External debt at current exchange rates, as at end-March 2014, for the Central Government increased to 3.74 trillion (US $ 62.2 billion;3.3 per cent of GDP) from *3.32 trillion (US $ 61.3 billion) at end-March 2013. Government's total liabilities and 5.0 percent of This amounts to 7.1 per cent of Central general government debt. The trends in external debt at book value and current exchange rate are shown in Table 2.9. Table 2.9: Trends in External Debt ( in Rs. crore) Actuals Provisional Estimates 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 RE 1 2 3 4 5 6 7 External Debt (at Book Value) 123046 134083 157639 170088 177289 182729 Percentage of GDP 2.2 2.1 2.0 1.9 1.8 1.6 External Debt (at current Value) 264059 249306 278877 322897 332004 374483 Percentage of Public Debt 12.0 9.6 9.4 9.1 8.1 8.1 Percentage of Total Liabilities 9.6 7.9 7.9 7.8 7.0 7.1 Percentage of GDP 4.7 3.8 3.6 3.6 3.3 3.3 %age of General Govt. Total Liabilities 6.6 5.5 5.5 5.5 5.0 5.0 *Exchange rate as on 31st March respective years External debt (at current exchange rate) as percentage of GDP has consistently declined in the re....
X X X X Extracts X X X X
X X X X Extracts X X X X
....cent years, indicating that reliance on external debt for financing of deficit is declining. This implies that debt portfolio of Government has low currency risk and its impact on balance of payments also remains insignificant. A major portion of the external debt is from multilateral institutions (71.7 per cent of total external debt at end-March 2014), while bilateral sources account for the remaining 28.3 per cent). Loans from multilateral institutions are largely on concessional terms. The Central Government does not borrow directly in international capital markets. The details on agency wise outstanding external loans as on 31.3.2014 are shown in Annex VIII. Table 2.10: Composition of External Debt Actuals Provisional Creditor Category 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 1 2 3 4 5 6 7 8 9 Multilateral Debt as 70.5 68.8 68.9 68.5 68.2 68.9 71 71.7 percentage of Total External Debt Bilateral Debt as 29.5 31.2 31.1 31.5 31.8 31.1 29 28.3 percentage of Total External Debt 7 Executive power of State Governments extends only to borrow within the territory of India as per Article 293 of the Constitu....
X X X X Extracts X X X X
X X X X Extracts X X X X
....tion. 16 Public Debt External debt is predominantly denominated in three currencies viz., SDR, USD and Yen. At end- March 2014, debt denominated in these three currencies represented 94.8 per cent of total external debt. A small portion (5 per cent) is denominated in Euro. Other currencies mainly comprise of Rupee denominated debt to Russia (Table 2.11). Table 2.11: Currency Composition of External Debt (per cent of total external debt) Provisional Actual Currency 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 1 2 3 4 5 6 7 8 SDR 42.9 40.6 39.7 37.6 37.8 38.2 39.2 US Dollar 29.4 31.9 32.2 33.6 33.5 35.0 34.3 YEN 20.6 21.4 22.5 23.6 23.7 22.0 21.3 Euro 6.6 5.7 5.2 4.9 4.8 4.6 5.0 Others 0.5 0.4 0.4 0.3 0.3 0.2 0.2 To summarise the Chapter, public debt as percentage of GDP, after declining from 48.1 per cent in 2002-03 to 37.1 per cent in 2007-08, has stabilized in recent years. Internal debt constitutes a major part of public debt. Within the internal debt, the share of marketable debt has increased consistently over time. Fixed coupon dated securities constitute a major portion of the internal pu....
X X X X Extracts X X X X
X X X X Extracts X X X X
....blic debt. Maturity profile of outstanding dated securities indicates a relatively low roll-over risk in the debt portfolio. While weighted average yield of primary issuance of dated securities has remained broadly stable in the recent years, weighted average maturity of these issuances showed an increasing trend. The ownership pattern indicates a gradual broadening of market. The share of external debt in the public debt has consistently declined over time and majority of external debt is on concessional terms. 17 3 Public Account Liabilities All public moneys received by or on behalf of the Government of India, other than those which are for credit to the Consolidated Fund of India, are credited to the Public Account of India³. The receipts into the Public Account and disbursements out of it are generally not subject to vote by the Parliament. Receipts under public account in the form of liabilities include small savings collections into NSSF, provident fund contribution of government employees, security deposits and other deposits received by the Government, securities issued in lieu of oil/food/fertilizer subsidies, balances under various suspense a....
X X X X Extracts X X X X
X X X X Extracts X X X X
....nd remittance heads, etc. The public account liabilities position of the Central Government is presented in Table 3.1. Table 3.1: PUBLIC ACCOUNT LIABILITIES OF THE CENTRAL GOVERNMENT Actual Provisional (in crore) Estimates Components 1 A. Public Debt 2008-09 2009-10 2010-11 2011-12 2 3 4 5 2203836 2583616 2954700 3553519 RE 2012-13 2013-14 2014-15 6 7 8 4096570 4624780 5134224 BE % of Total Liabilities 80.1 81.8 83.6 85.6 87.0 87.9 87.3 B. Other Liabilities (a to d) 547527 576068 579249 599265 611516 636671 749638 Per cent of TL 19.9 18.2 16.4 14.4 13.0 12.1 12.7 (a) National Small Savings Fund 10085 38432 Per cent of TL 0.4 42552 64734 1.2 1.2 1.6 1.7 80516 104383 2.0 134067 2.3 (b) State Provident Fund Per cent of TL 83377 3.0 (c) Other Account Per cent of TL 325383 11.8 99433 3.1 318749 10.1 111947 3.2 295989 8.4 122751 3.0 277904 6.7 133672 2.8 257424 5.5 143672 2.7 234992 155672 2.6 296999 4.5 5.0 (d) Reserve funds & Deposit 128682 Per cent of TL Bearing Interest 4.7 78384 Per cent of TL 2.8 119453 3.8 72875 2.3 128762 3.6 70421 2.0 133877 3.2 74413 1.8 139904 3.0....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 83871 1.8 153625 2.9 96133 1.8 162901 2.8 106543 1.8 Not bearing interest Per cent of TL 50298 1.8 46578 1.5 58340 1.7 59464 1.4 56033 1.2 57492 1.1 56358 1.0 8 C. Total Liabilities (TL) (A+B) 2751363 3159683 Public account liabilities, at Rs. 6.37 trillion at end- March 2014, constituted 12.1 per cent of total liabilities, a decline from 13 per cent of total liabilities at end-march 2013. Indeed, the share of public account liabilities has seen a steady decline since 2008-09 when it accounted for 19.9 per cent of total liabilities. The major categories under this head are discussed below. clause (2) of Articile 266 of the Constitution of India 3533950 4152784 4708085 5261451 5883862 (a) National Small Savings Fund (NSSF) Liabilities of NSSF constitute the liabilities of the Central Government. However, as explained earlier, only a part of the liabilities under NSSF are utilized for financing the fiscal deficit of the Central Government and that part is explicitly included in internal debt. The remaining part, which is utilized for financing 19 Government Debt: Status Paper State government budget deficits, is excluded from Ce....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ntre's liabilities. The liabilities of the Central Government in the public account under the head ‘NSSF' represent the accumulated historical net cash position of NSSF. It can also be viewed as the net asset-liability position of NSSF. Trends in assets and liabilities of NSSF are given in Table 3.2. Table 3.2 : Liabilities and Assets of NSSF (in crore) Actual Provisional Estimates Components 1 1. Total Liabilities 2 2008-09 2009-10 2010-11 2011-12 3 4 664137 728446 787100 5 790194 2012-13 6 RE 2013-14 2014-15 BE 7 8 814545 838943 863829 2. Borrowings by Centre 193997 3. Borrowings by States 460056 207252 218485 482762 526063 208183 517277 216808 228413 236641 517221 517752 512954 4. Loan to IIFCL 1500 1500 1500 1500 1500 1500 5. Net Liabilities (1-2-3-4) 10085 36932 41052 63234 79016 91278 112734 6. Total Liabilities % of GDP 11.8 11.2 10.1 8.8 8.1 7.4 6.7 7. Net Liabilities % of GDP 0.2 0.6 0.5 0.7 0.8 0.8 0.9 (b) State Provident Funds Accumulated Provident Fund contributions of Central Government employees accounted for 2.7 per cent of total liabilities at end-March 2014, slightly down from 2.8 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....per cent at end-March 2013. This share has been by and large stable. (Table 3.3). Table 3.3: State Provident Funds (in crore) Actual Provisional Estimates Components 2008-09 2009-10 2010-11 2011-12 2012-13 1 State Provident Funds 2 83377 3 4 5 6 RE 2013-14 7 BE 2014-15 99433 111947 122751 133672 143672 8 155672 Percentage of Total Liabilities 3.0 3.1 3.2 3.0 2.8 2.7 2.6 Percentage of GDP 1.5 1.5 1.4 1.4 1.3 1.3 1.2 9009722 10113281 11355073 12876653 GDP(MP,2004-05) (c) Other Accounts 5630063 6477827 7784115 ‘Other accounts' includes sundry items like special deposits by retirement funds with the Central government, securities issued in lieu of subsidies, money in postal insurance and annuity funds, other deposits etc. The share of Other Accounts has been going down over the years, from 10.0 per cent of total liabilities in 2006-07 to 4.5 per cent at end-March 2014 (Table 3.1). Some important items under this category are elaborated below. (i) Oil/Fertiliser/Food Bonds - Certain subsidy payments were made in the form of bonds 20 issued to oil marketing companies, fertilizers companies and Food Corporation of Ind....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ia in the past. These bonds are part of public account liability. Liabilities on account of these securities had increased significantly during 2005-06 to 2008-09. Since 2009-10, all payments related to these subsidies are made in cash. As a result, there has been a secular decline in these liabilities to 3.0 per cent of total liabilities at end-March 2014 from 6.5 per cent at end-March 2009 (Table 3.4). Components Public Account Liabilities Table 3.4: Special Securities issued in lieu of subsidies (in crore) Actuals Provisional Estimates RE BE 2008-09 2009-10 2010-11 2 3 4 2011-12 5 2012-13 2013-14 6 7 2014-15 8 1 Special securities issued (in lieu of 177580 187886 182123 172091 166328 166328 162828 subsidy payment) Percentage of Total 6.5 5.9 5.2 4.1 3.5 3.2 2.8 Liabilities Securities issued to 133880 144186 144186 140186 134423 134423 130923 OMCS %age of Total Lia. 4.9 4.6 4.1 3.4 2.9 2.6 2.2 Food Corp. of India 16200 16200 16200 16200 16200 16200 16200 Percentage of Total Liabilities 0.6 0.5 0.5 0.4 0.3 0.3 0.3 Fertiliser Companies %age of Total Lia. GDP 27500 27500 21737 15705 15705 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....15705 15705 1.0 0.9 0.6 0.4 0.3 0.3 0.3 5630063 6477827 7784115 9009722 10113281 11355073 12876653 (ii) Postal Life Insurance-With a view to convert part of the frozen corpus of Post Office Life Insurance Fund (POLIF) and Rural Post Life Insurance Fund (RPOLIF) into dated securities, the Government issued Special Securities to Directorate of Postal Life Insurance. Securities for 7,000 crore of were issued in each of the year 2010-11 and 2011- 12 and 6,080 crore in 2012-13. The total outstanding amount of these Special securities is 20,894 crore as on end-March, 2014. The liabilities in public account have been reduced and liabilities under public debt increased accordingly. (iii) Advances- Government occasionally makes advances to public and quasi-public bodies and to individuals, under special laws or for special reasons. Under advances in the Public Account, as on 31st March 2013, there was a balance of (-) 14,533crore which is mainly attributed to Postal advance of (-) Rs. 13,515 crore and Telecommunication advance of (-) 324crore. The trends in outstanding advances in the Public Account are shown in Table 3.5 below. Table 3.5: Advances (i....
X X X X Extracts X X X X
X X X X Extracts X X X X
....n crore) Provisional Actuals Components 2008-09 2009-10 2010-11 2011-12 2012-13 1 2 3 4 5 6 Advances -9817 -8969 -5899 -10817 -14533 Percentage of Total -0.4 -0.3 -0.2 -0.3 -0.3 Liabilities Percentage of GDP -0.2 -0.1 -0.1 -0.1 -0.1 GDP 5630063 6477827 7784115 9009722 10113281 (d) Reserve Funds and Deposits Reserve Funds and deposits constituted 2.8 per cent of total liabilities as at end-March 2014, marginally down from 2.9 per cent at end-March 2013 and noticeably lower than 4.7 per cent at end- March 2009. These liabilities can be interest bearing or non interest bearing. Interest bearing liabilities constituted 62.6 per cent of total at end-March 2014 compared to 59.9 per cent at end-March 2013. A more detailed account is given below. 21 Government Debt: Status Paper (i) Reserve Funds - Reserve Funds in the Public Account include balance sheet reserves of commercial undertakings (e.g., Railways), grants by other governments and public subscriptions (e.g. relief funds), contributions made by outside agencies (e.g. ICAR) etc. (Table 3.6). Reserve funds not bearing interest include National Calamity Contingency Fund, Guar....
X X X X Extracts X X X X
X X X X Extracts X X X X
....antee Redemption Fund, Central Road Fund, Railway Safety Fund etc. Table 3.6: Reserve Funds (in crore) Actuals Provisional Estimates Components RE 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 BE 2014-15 1 2 3 4 5 6 7 8 Reserve Funds 34248 20670 21617 27291 26880 32708 35856 Percentage of Total Liabilities 1.2 0.7 0.6 0.7 0.6 0.6 0.6 (i) Interest bearing 15627 4848 474 2392 5283 11045 15839 Percentage of Total Liabilities 0.6 0.2 0.0 0.1 0.1 0.2 0.3 (ii) Non-Interest bearing 18621 15822 21143 24899 21597 21663 20017 Percentage of Total Liabilities Share of interest-bearing funds to total (%) 0.7 0.5 0.6 0.6 0.5 0.4 0.3 45.6 23.5 2.2 8.8 19.7 33.8 44.2 (ii) Deposits - Deposits received by the Government are reckoned in the public account. These deposits may be interest bearing or non-interest bearing. Deposit liabilities (as percentage of total liabilities) declined to 2.3 per cent at end-March 2014 from 2.4 per cent at end-March 2013 (Table 3.7). Interest bearing liabilities went up from 69.5 per cent of total deposits at end-March 2013 to 70.4 per cent at end-March 2013. Table 3.7: Deposits....
X X X X Extracts X X X X
X X X X Extracts X X X X
....-Interest Bearing and Not Bearing Interest Contributions under Employees Family Pension Scheme, 1971 accounted for the major part of these interest bearing deposits. Non- interest bearing deposits declined to 0.32 per cent of GDP at end-March 2014 from 0.34 per cent a year ago. These deposits largely consist of deposits with civil courts, with departments like defence, railway, post telecommunication etc. and (in crore) Actuals Provisional Estimates Components 1 2008-09 2 Deposits 94434 2009-10 3 98783 2010-11 2011-12 4 5 107145 106586 2012-13 6 113024 RE 2013-14 7 120917 BE 2014-15 8 127045 Percentage of Total Liabilities Bearing Interest 3.4 3.1 3.0 2.6 2.4 2.3 62757 68027 69948 72021 78588 85088 2.2 90704 Percentage of Total Liabilities Not Bearing Interest Percentage of Total Liabilities GDP 2.3 31677 1.2 5630063 2.2 30756 1.0 6477827 2.0 1.7 1.7 37197 34565 1.1 0.8 7784115 9009722 34436 0.7 10113281 1.6 1.5 35829 36341 0.7 0.6 11355073 12876653 The share of public account liabilities in the total liabilities of the Government has declined from 19.9 per cent in 2008-09 to 12.1 per cent in 20....
X X X X Extracts X X X X
X X X X Extracts X X X X
....13-14. Decline was primarily due to 'other accounts', which mainly comprises of securities issued in lieu of subsidies to oil and fertilizers companies and FCI. Since 2009-10, all payments related to such subsidies are made in cash. The share 22 of NSSF in the total liabilities of the Government is increasing whereas that of state provident funds has remained broadly stable. The share of reserve funds and deposits has seen a decline in the recent years. 4 General Government Debt General government debt is the consolidated debt of the Central Government and state governments. Central Government debt was covered in the previous chapters. This chapter gives a brief account of the debt profile of state governments, followed by a discussion of the general government debt. 1. State Government Debt The Constitution of India empowers state governments to borrow only from domestic sources (Article 293(1)). Further, as long as a state has outstanding borrowings from the Central Government, it is required to obtain Central Government's prior approval before incurring debt (Article 293 (3)). Table 4.1: Financing of Gross Fiscal Deficit Financing of Fiscal Deficit - ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....States The major sources of financing of the fiscal deficit of the state governments are market borrowings, borrowings from NSSF, loans from financial institutions, and loans from the Centre. State governments also incur liabilities in the public accounts through provident funds, reserve funds, deposit, etc. The financing pattern of budget deficit of state governments has undergone a shift in composition over time. Market borrowings, at 72.1 per cent in 2012-13 have emerged as the major source of financing. There is a decline in borrowings from NSSF 10 (-3.5 per cent in 2012-13) while an increase in loans from the Centre (2.9 per cent in 2012-13) (Table 4.1). (in crore) Year Market Borrowings Loans from Centre Special Securities issued to NSSF Loans from LIC, NABARD, NCDC, SBI State Provident Funds, etc. Reserve Deposits Other Funds Cash Gross and Advances Public Account Drawdown Fiscal Overall Deficit Surplus(-)/ (GFD) and Other Deficit (+) Banks 1 2 3 4 5 6 7 8 9 10 11 1999-2000 12,660 12,180 26,420 3,380 17,880 2,560 9,050 2,850 3,130 90,100 2000-01 12,520 8,320 32,610 4,550 13,110 3,100 7,140 8,950 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....-2,380 87,920 2001-02 17,250 10,900 35,650 6,290 10,190 4,520 5,000 930 3,540 94,260 2002-03 28,480 -370 48,970 4,860 9,860 4,800 710 6,700 -4,290 99,730 2003-04 47,290 13,940 18,000 4,130 9,330 6,380 -370 22,470 -530 120,630 2004-05 34,560 -9,780 64,190 8,880 7,130 8,070 4,960 -10,230 107,770 2005-06 15,300 -40 73,820 4,060 10,460 5,230 7,260 7,940 -33,950 90,080 2006-07 13,080 -8,890 56,020 3,940 10,370 7,630 12,800 -1,120 -16,320 77,510 2007-08 53,920 -930 5,850 6,300 12,340 -5,920 13,580 3,720 -13,410 75,450 2008-09 104,040 -760 1,480 5,700 15,640 7,540 4,590 5,320 -8,960 134,590 2009-10 112,650 -1,700 24,160 8,210 23,140 -1,990 12,370 4,280 7,700 188,820 2010-11 88,780 710 38,630 3,200 27,810 2,610 22,860 -8,290 -14,850 161,460 2011-12 135,400 180 -8,060 5,640 26,650 12,180 17,690 -5,030 -16,300 168,350 2012-13 (RE) 168,390 6,860 -8,270 5,470 22,790 2,150 16,300 -9,390 29,110 233,410 2013-14 (BE) 216,180 9,930 -6,600 7,920 24,040 5,570 6,730 -17,820 -900 245,050 Per cent of GFD 1999-2000 14.1 13.5 29.3 3.8 19.8 2.8 10.0 3.2 3.5 100.0 200....
X X X X Extracts X X X X
X X X X Extracts X X X X
....0-01 14.2 9.5 37.1 5.2 14.9 2001-02 18.3 11.6 37.8 6.7 10.8 2002-03 28.6 -0.4 49.1 4.9 9.9 2003-04 39.2 11.6 14.9 3.4 7.7 2004-05 32.1 -9.1 59.6 0.0 8.2 34456 3.5 8.1 10.2 -2.7 100.0 4.8 5.3 1.0 3.8 100.0 4.8 0.7 6.7 -4.3 100.0 5.3 -0.3 18.6 -0.4 100.0 6.6 7.5 4.6 -9.5 100.0 2005-06 17.0 0.0 81.9 4.5 11.6 5.8 8.1 8.8 -37.7 100.0 2006-07 16.9 -11.5 72.3 5.1 13.4 9.8 16.5 -1.4 -21.1 100.0 2007-08 71.5 -1.2 7.8 8.3 16.4 -7.8 18.0 4.9 -17.8 100.0 2008-09 77.3 -0.6 1.1 4.2 11.6 5.6 2009-10 59.7 -0.9 12.8 4.3 12.3 -1.1 36 3.4 6.6 46 4.0 -6.7 100.0 2.3 4.1 100.0 2010-11 55.0 0.4 23.9 2.0 17.2 1.6 14.2 -5.1 -9.2 100.0 2011-12 80.4 0.1 -4.8 3.3 15.8 7.2 10.5 -3.0 -9.7 100.0 2012-13 (RE) 72.1 2.9 -3.5 2.3 9.8 0.9 7.0 -4.1 12.5 100.0 2013-14 (BE) 88.2 4.1 -2.7 3.2 9.8 2.3 2.7 -7.2 -0.4 100.0 Source: State Finances: A Study of Budgets, 2013-14 10 9 Data on State Governments' finances is sourced from the RBI publication, 'State Finances: A Study of Budgets of 2013-14'. States' borrowings from NSSF is largely a function of the level of sm....
X X X X Extracts X X X X
X X X X Extracts X X X X
....all savings collections. To a lesser extent, it also depends on the prevailing ratio of sharing net small savings collections with the Central Government. 11 Central Government extends loans to State Governments under Article 293 (2) of the Constitution of India. Following the recommendations of the Twelfth Finance Commission, the loan component of the plan assistance to States has been done away with, leading to decline of loans from the Centre as a financing source for States. 23 Government Debt: Status Paper Liabilities of State Governments Consistent with the classifications of Central Government liabilities, state government debt is discussed under two broad categories viz., public debt and other liabilities. The liability position of state governments is presented in Table 4.2 while Table 4.3 presents the same information as a ratio to GDP. Total liability of state Governments increased to Rs.21.8 trillion at end-March 2013 from 19.9 trillion at end-March 2012. As a per cent of GDP, however, it declined to 21.5 per cent from 22.1 per cent over the same dates, in line with the declining trend established over the years (Chart 4.1). Chart 4.1: Liabilities ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....of the State Governments Per cent GDP 35 30 25 20 15 10 5 -Public Debt Other Liabilities 2013RE, Total Liabilities 2014 BE Public Debt Public debt, at Rs. 16.1 trillion at end-March 2013, constituted 73.8 per cent of total liabilities of state governments (15.9 per cent of GDP). Its contribution to total liabilities has remained largely stable since 2006-07. Market loans (dated securities) constituted 40.2 per cent of total liabilities at end-March 2013, up from 37.2 per cent at end March 2012. This share has increased from 19.6 per cent at end-March 2007. Borrowings from NSSF accounted for 22.4 per cent of total liabilities at end-March 2013, down from 24.4 per cent at previous year-end. The share of NSSF has been steadily decreasing over the years. Loans from the centre, which have also been decreasing over the years, accounted for 6.9 per cent of total liabilities at end-March 2013, compared to 7.2 per cent at previous year-end. State governments also take negotiated loans from LIC, GIC, NABARD and other financial institutions. At end-March 2013, these loans constituted 3.9 per cent of total liabilities down from 4.2 per cent at end-March 2012....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... (Table 4.2). Table 4.2: Liability Position of State Governments Actuals (RE) Components 1 2006-07 2 2007-08 3 2008-09 4 1. Public Debt (a to f) 910510 969400 (a) Market Loans 242780 298510 (b) Borrowings from NSSF 425310 430880 (c) Loans from the Centre 146650 145100 2009-10 5 1077630 1216780 401920 515790 431920 455020 143870 143150 2010-11 2011-12 6 7 1340530 1466430 604090 741150 2012-13 8 1606060 (in crore) (BE) 2013-14 9 1827240 874600 1090780 494640 486420 486750 480150 144170 143550 150410 160340 (d) Loans from Banks and 69340 71440 77780 83480 81720 83080 84900 89410 other Financial Institutions (e) Power Bonds 26050 (f) Ways and Means 380 23140 330 21690 450 18780 14420 11540 8670 5800 560 1490 690 730 760 Advances and others 2. Other Liabilities 331070 358890 392560 431870 488440 527510 569190 606030 (a to d) (a) State Provident Funds 149920 (b) Reserve Funds 78760 (c) Deposits and Advances 101070 (d) Contingency Fund 3. Total Liabilities (1+2) 1320 1241580 161970 78260 116590 2070 1328290 2850 1470190 177430 200560 83930 94350 128350 134530 2430 1648650 22824....
X X X X Extracts X X X X
X X X X Extracts X X X X
....0 253450 276240 300280 103170 91940 94080 153660 3370 1828970 178980 3140 1993940 195280 3590 2175250 99650 202010 4090 2433270 24 General Government Debt Table 4.2: Liability Position of State Governments (Contd...) Percentage of total liabilities 1 2 3 4 5 6 7 8 9 1. Public Debt (a to f) 73.3 73.0 73.3 73.8 73.3 73.5 73.8 75.1 (a) Market Loans 19.6 22.5 27.3 31.3 33.0 37.2 40.2 44.8 (b) Borrowings from NSSF 34.3 32.4 29.4 27.6 27.0 24.4 22.4 19.7 (c) Loans from the Centre 11.8 10.9 9.8 8.7 7.9 7.2 6.9 6.6 (d) Loans from Banks and 5.6 5.4 5.3 5.1 4.5 4.2 3.9 3.7 other Financial Institutions (e) Power Bonds 2.1 1.7 1.5 1.1 0.8 0.6 0.4 0.2 (f) Ways and Means 0.0 0.0 0.0 0.0 0.1 0.0 0.0 0.0 Advances and others 2. Other Liabilities 26.7 27.0 26.7 26.2 26.7 26.5 26.2 24.9 (a to d) (a) State Provident Funds 12.1 12.2 12.1 12.2 12.5 12.7 12.7 12.3 (b) Reserve Funds 6.3 5.9 5.7 5.7 5.6 4.6 4.3 4.1 (c) Deposits and Advances 8.1 8.8 8.7 8.2 8.4 9.0 9.0 8.3 (d) Contingency Fund 3. Total Liabilities (1+2) 0.1 100.0 0.2 0.2 0.1 0.2 0.2 0.2 0.2 100.0 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 100.0 100.0 100.0 100.0 100.0 100.0 Various components of liabilities of State governments as per cent of GDP are given in Table 4.3. While overall debt-GDP ratio of States has been declining over the years, market loans as per cent of GDP have shown increasing trend in line with greater recourse to market by the States to finance their deficit (Table 4.3). Table 4.3: Liability Position of State Governments (per cent of GDP) Actuals Components 1 2 2006-07 2007-08 3 2008-09 2009-10 2010-11 2011-12 (RE) 2012-13 (BE) 2013-14 4 5 6 7 8 9 1. Public Debt (a to f) 21.2 19.4 19.1 18.8 17.2 16.3 15.9 16.1 (a) Market Loans 5.7 6.0 7.1 8.0 7.8 8.2 8.6 9.6 (b) Borrowings from NSSF 9.9 8.6 7.7 7.0 6.4 5.4 4.8 4.2 (c) Loans from the Centre 3.4 2.9 2.6 2.2 1.9 1.6 1.5 1.4 (d) Loans from Banks and 1.6 1.4 1.4 1.3 1.0 0.9 0.8 0.8 other Financial Institutions (e) Power Bonds 0.6 0.5 0.4 0.3 0.2 0.1 0.1 0.1 (f) Ways and Means 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Advances and others 2. Other Liabilities (a to d) 7.7 7.2 7.0 6.7 6.3 5.9 5.6 5.3 (a) State Provident Funds 3.5 3.2 3.2 3.1 2.9 2.8....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 2.7 2.6 (b) Reserve Funds 1.8 1.6 1.5 1.5 1.3 1.0 0.9 0.9 (c) Deposits and Advances 2.4 2.3 2.3 2.1 2.0 2.0 1.9 1.8 (d) Contingency Fund 0.0 0.0 0.1 0.0 0.0 0.0 0.0 0.0 3. Total Liabilities (1+2) 28.9 26.6 26.1 25.5 23.5 22.1 21.5 21.4 Other Liabilities Other liabilities of State governments stood at 5.7 trillion at end-March 2013 compared to Rs. 5.3 trillion at end-March 2012. Relative to GDP, however, there is a reduction over the same period from 5.9 per cent to 5.6 per cent. They constituted 26.2 per cent of total liabilities as at end-March 2013, a share that has remained more or less stable over the years. The major constituent of other liabilities is State Provident Funds at 48.5 per cent of other liabilities (and 12.7 per cent of total liabilities) at end-March 2013. Deposits and advances and reserve funds are the other components accounting for 34.3 per cent and 16.5 per cent respectively, of other liabilities at end-March 2013. Contingency fund constituted 0.6 per cent of other liabilities at end- March 2013 (Table 4.4). 25 Government Debt: Status Paper Table 4.4: Composition of Other Liabilities of State Governm....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ent (per cent of Other Liabilities) Actuals RE Components 1 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 BE 2013-14 2 3 4 5 6 7 8 9 (i) State Provident Funds 45.3 45.1 45.2 46.4 46.7 48.0 48.5 49.5 (ii) Reserve Funds 23.8 21.8 21.4 21.8 21.1 17.4 16.5 16.4 (iii) Deposits and Advances 30.5 32.5 32.7 31.2 31.5 33.9 34.3 33.3 (iv) Contingency Fund Other Liabilities (i to iv) 0.4 0.6 0.7 0.6 0.7 0.6 0.6 0.7 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 State Governments as a group maintain a large cash surplus on a consistent basis while at the same time running a budget deficit. This appears to be a case of over-borrowing by states. There could be scope for state governments to curtail their borrowings by running down their cash surplus (parked as investment in treasury bills of the Central Government). An adjustment made to this effect indicates that total liabilities of state governments could have been lower at 20.1 per cent of GDP against 21.5 per cent without adjustment (Table 4.5). This factor, however, does not affect consolidated general government debt as investment in treasury bills by s....
X X X X Extracts X X X X
X X X X Extracts X X X X
....tates is an inter- government transaction that is netted out of consolidated general government debt position. Table 4.5: State Government Debt Adjusted for Investment in Treasury Bills (in crore) Actuals RE BE Components 2006-07 2007-08 2008-09 2009-10 2010-11 1 2 3 1. Public Debt 910510 percentage of GDP 21.2 969400 19.4 4 1077630 19.1 5 1216780 18.8 6 1340530 17.2 2011-12 7 1466430 16.3 2012-13 8 2013-14 9 1606060 1827240 15.9 16.1 2. Investment in Treasury 73410 96970 100900 92810 110690 117740 145700 132476 Bills of Centre 3. Public Debt net of Investment T-Bills (1-2) 837100 872430 976730 1123970 1229840 1348690 1460360 1694764 percentage of GDP 19.5 4. Other Liabilities percentage of GDP 5. Total Debt (1+4) percentage of GDP 6. Total Adjusted Debt (3+4) 331070 7.7 1241580 28.9 1168170 percentage of GDP 27.2 17.5 358890 7.2 1328290 26.6 1231320 24.7 17.3 392560 7.0 1470190 26.1 1369290 24.3 17.4 431870 6.7 1648650 25.5 1555840 24.0 15.8 488440 6.3 1828970 23.5 1718280 22.1 15.0 527510 5.9 14.4 569190 5.6 14.9 606030 5.3 1993940 22.1 1876200 20.8 2175250 21.5 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 2029550 2433270 21.4 2300794 20.1 20.3 2. General Government Debt General government liabilities are arrived at by consolidating liabilities of the Central Government and state governments. As was done for liabilities of the Centre and states, general government liabilities are also discussed in terms of two broad components viz., public debt and other liabilities. As general government debt represents the liability of the government sector to the 'rest-of-the-world', the following inter- government transactions are netted out while consolidating general government debt: (i) Investment of state governments in bills issued by the Central Government; 26 (ii) Centre's loans to states. adjustments, After making these consolidated 'public debt' of the general government works out to 53.5 per cent of GDP at end-March 2013, higher than 52.8per cent at end-March 2012. On corresponding dates, general government ‘other liabilities' constituted 11.7 per cent and 12.5 per cent of GDP. Total liabilities of the general government at end- March 2013 amounted to 65.2 per cent of GDP, compared to 65.3 per cent of GDP at end-March 2012 (Table 4.6). General gov....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ernment debt-GDP ratio is estimated to increase marginally to 65.3 per cent at end-March 2014. General Government Debt Table 4.6 General Government Liabilities (in crore) Actuals Provisional BE Components 1 1. Public Debt Centre percentage of GDP 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2 3 4 5 6 7 2203836 2583616 2954700 3553519 4096570 4624780 39.1 39.9 2. Public Debt States 1077630 1216780 38.0 1340530 percentage of GDP 19.1 18.8 17.2 39.4 1466430 16.3 40.5 1606060 40.7 1827240 15.9 16.1 3. States Investment in T-Bills 100900 92810 110690 117740 145700 132476 of Centre percentage of GDP 1.8 4. Loans from Centre to States 143870 percentage of GDP 2.6 1.4 143152 2.2 1.4 144170 1.9 1.3 143548 1.6 1.4 1.2 144812 147384 1.4 1.3 5.General Government 3036696 3564433 4040370 4758661 5412117 6172160 Public Debt (1+2-3-4) percentage of GDP 53.9 6. Other Liabilities Centre 547527 percentage of GDP 9.7 7. Other Liabilities States percentage of GDP 392560 7.0 55.0 576068 8.9 431870 6.7 51.9 579249 7.4 488440 6.3 52.8 599265 6.7 527510 5.9 53.5 611516 54.4 636671 6.0 5.....
X X X X Extracts X X X X
X X X X Extracts X X X X
....6 569190 606030 5.6 5.3 8. General Government Other Liabilities (6+7) percentage of GDP 940087 1007938 1067689 1126775 1180706 1242701 16.7 15.6 13.7 12.5 11.7 10.9 9. General Government 3976783 4572371 5108060 5885437 6592823 7414861 Total Liabilities (5+8) percentage of GDP 70.6 70.6 65.6 65.3 65.2 65.3 Note:- 1. States data relate to revised estimates for 2012-13 and budget estimates for 2013-14. 2. Data on States' Investment in Treasury Bills of Centre for 2013-14 is taken from RBI. General government liabilities have been declining in recent years (Chart 4.2). Share of public debt in total liabilities has increased over time with commensurate decline in share of other liabilities. At end-March 2014, public debt represented 83.2 per cent of total liabilities as against 76.3 per cent at end-March 2009. The decline in share of other liabilities is attributable to greater reliance on market borrowings by both the Central and State governments and relatively subdued small savings collections. In addition, the Central Government has discontinued the practice of issuing special bonds to oil companies, fertilizers companies, etc., whic....
X X X X Extracts X X X X
X X X X Extracts X X X X
....h formed part of other liabilities of Central Government earlier. Per cent of GDP 80 70 60 50 40 30 10 Chart 4.2: Trends in General Government Liabilities 84.0 82.0 - 80.0 78.0 76.0 74.0 72.0 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 PA RE Other Liabilities -Public Debt -Total Liabilities Per cent of Total Lia. -Public Debt % Toal Liabilities (right scale) 27 Government Debt: Status Paper In brief, the State Governments' debt-GDP ratio declined to 21.4 per cent at end-March 2014 from 21.5 per cent a year ago. The shares of public debt and other liabilities within the overall debt portfolio of the state governments have remained broadly unchanged over time. Within the public debt, however, the share of market borrowings has increased while the borrowings from NSSF have declined significantly. Taking the Central and State Governments together, the general government liabilities have continued its broad declining trend in debt-GDP ratio. Share of public debt in total liabilities has increased over time with commensurate decline in share of other liabilities. 28 5 Assessment, Emerging Issues and Road Ahead This chapte....
X X X X Extracts X X X X
X X X X Extracts X X X X
....r provides an assessment of the debt profile of the Government in terms of cost and risk characteristics. Debt sustainability is in great part a function of the level of debt. At the same time, the risk profile of debt stock, by virtue of its impact on the ability to borrow, has important consequences for debt sustainability. The risk profile of India's Government debt stands out as safe and prudent in terms of accepted parameters. 1. Maturity of Debt Information regarding residual maturity is not readily available on the entire debt portfolio of the Government, particularly regarding liabilities under public account. Maturity analysis of debt in this Chapter is confined to the 'public debt'12 component of the liabilities for both the Centre and states. Short-term Debt Central Government Short-term debt¹³ of the Central Government on residual maturity basis includes 14 day treasury bills, regular treasury bills, dated securities maturing in the ensuing one year and external debt with remaining maturity of less than one year. Short-term debt declined noticeably during the first half of 2000s with its share in public debt declining to a low of 6.2 per c....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ent in 2003-04. It, however, rose consistently thereafter with its share in the Public Debt increasing to 13.8 per cent in 2008- 09. Since then it is stable and stood at 13 per cent of total public debt and 5.3 per cent of GDP at end-March 2014 (Table 5.1). Table 5.1: Short-term Debt of the Central Government Year Amount Crore) Per cent of Public Debt Per cent of GDP 1 2 3 4 2000-01 159,726 16.1 7.37 2001-02 180,649 16.2 7.69 2002-03 161,379 13.3 6.38 2003-04 81,987 6.2 2.89 2004-05 91,720 6.5 2.83 2005-06 138,454 8.9 3.75 2006-07 166,270 9.8 3.87 2007-08 194,964 10.6 3.91 2008-09 304,253 13.8 5.40 2009-10 354,117 13.7 5.47 2010-11 325,683 11.0 4.18 2011-12 471,559 13.3 5.23 531,318 13.0 5.25 602,100 13.0 5.30 2012-13 2013-14 RE Composition of short-term debt indicates that treasury bills account for 73.2 per cent while dated securities constituted 23.1 per cent of total short- term debt at end-March 2014. Share of short-term external debt, at 3.7 per cent, was relatively insignificant (Chart 5.1). 12 Maturity profile is available for marketable debt, external debt and 14-day ITBS, which together account ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....for more than 90 per cent of public debt. Of the remaining items, securities issued to NSSF and securities issued to international financial institutions are not significant from a rollover risk perspective. Compensation bonds, at 0.5 per cent of public debt, is too low to affect the conclusions. 13 Short-term debt is defined as debt with maturity of one year or less. Total short-term debt is, thus, the sum of outstanding treasury bills at end-March and repayments of dated securities due in the ensuing financial year. 29 30 Per cent 210 2002-03 2003-04 2004-05 3 2005-06 54 2006-07 2007-08 Per cent of Total Short-Term Debt 2000-01 90 80 70 60 50 40 30 20 10 2001-02 2002-03- 2003-04 â– T-bills â– 14 DTBs 2004-05 2005-06 2006-07 2007-08 -60-800Z As treasury bills are necessary for development of money markets and as their stock is by no means excessive, it would be more pertinent to focus on dated securities with residual maturity of less than one year. Short-term dated securities remained around one per cent of GDP during the 2000s, barring 2009-10 when it reached 1.7 per cent of GDP due to de-sequestering of MSS securities. At e....
X X X X Extracts X X X X
X X X X Extracts X X X X
....nd-March 2014, dated securities maturing within a year amounted to 1.2 per cent of GDP, 3.0 per cent of public debt, and 3.9 per cent of total outstanding dated securities (Chart 5.2). 7 6 Chart 5.2: Short-Term Debt under Dated Securities of the Centre 2008-09 -Per cent of Public Debt -Per cent of Oustanding Dated Securities Per cent of GDP State Governments Short-term debt of state governments is relatively low, constituting 5.9 per cent of their public debt (Table 5.2). State Governments do not issue bills. Besides, as market loans constitutes the dominant part of public debt of States' governments, and as States largely issue securities with 10-year maturity 14, short-term debt has been relatively low under market loans. 14 Since 2012-13, States' Governments have been allowed to issue securities with shorter maturities of 4-5 years and also re-issue existing securities. 2009-10 2010-11 2011-12 2012-13 2013-14 RE 2009-10 100 Government Debt: Status Paper Chart 5.1: Composition of Short-Term Debt of the Centre 2010-11 â– Dated Securties â– Ext. Debt 2011-12 2012-13 2013-14 RE 2014-15 BE 2000-01 2001-02 2002-03 Assessment, Emerging I....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ssues and Road Ahead Table 5.2: Short-term Debt of the States' Government Amount Crore) Year Per cent of Public Debt Per cent of GDP 1 2 3 4 2000-01 24,381 5.8 1.1 2001-02 30,927 6.3 1.3 2002-03 31,016 5.4 1.2 2003-04 38,001 5.7 1.3 2004-05 36,130 4.8 1.1 2005-06 43,217 5.1 1.2 2006-07 40,207 4.4 0.9 2007-08 44,776 4.6 0.9 2008-09 65,631 6.1 1.2 2009-10 65,693 5.4 1.0 2010-11 73,270 5.5 0.9 2011-12 87,987 6.0 1.0 2012-13 95,517 5.9 0.9 Note: Short-term debt other than WMA from RBI is estimated from repayment schedule net of debt swap scheme related repayments. Over the years, there is a shift in composition of short-term debt of state governments. A major change is the reduction in WMA¹5 from RBI which constituted 30.5 per cent of short-term public debt Per cent of Total Short-Term Debt 100 90 80 70- 60 50- 40 30 20 10 0 at end-March 2002, but tapered off to 0.7 per cent at end-March 2013. Similarly short-term component of loans from the Centre (on residual maturity basis) also declined ( Chart 5.3). Chart 5.3: Composition of Short-Term Debt of States 2003-04 2004-05 2005-06 2006-07 WMA from....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... RBI ■Internal debt other than Mkt Loans ■Loans from Centre ■Market Loans General Government Short-term public debt of the general government¹ has remained below 10 per cent of total public debt. It has been increasing since 2007-08 but seems to have stabilised now. At end- March 2013, it represented 8.7 per cent of total public debt compared with 9.1 per cent at end- March 2012 (Table 5.3). 15 Ways and Means Advances, (WMA) is line of credit from RBI. 16 Intergovernmental debt such as treasury bills held by State Governments are netted out. 31 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 Government Debt: Status Paper Table 5.3 Short-term Debt of the General Government Year Crore Per cent of Public Debt Per cent of GDP 1 2 2006-07 124879 2007-08 134498 155 3 5.2 4 2.9 5.2 2.7 2008-09 260432 8.6 4.6 2009-10 317790 8.9 4.9 2010-11 277625 6.9 3.6 2011-12 431550 9.1 4.8 2012-13 470794 8.7 4.7 2013-14 RE 602100 9.8 5.3 Short-term debt under market loans 17 has remained stable for the general government during the recent past, barring 2009-10 when it saw some increase. At end-March 2013, short-term....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... debt under market loans represented 3.3 per cent of general government public debt and 1.8 per cent of GDP (Chart 5.4). Per cent 5 4 3 2 1 Chart 5.4: Short-term Debt of General Government Under Market Loans 0 2007-08 2008-09 2009-10 2010-11 â– % Public Debt â– % of GDP 2011-12 2012-13 Annual Repayment Burden of Dated Securities The annual repayment burden (ARB) of dated securities is shown in Chart 5.5 (actual repayments for years up to 2013-14 and position as at end- March 2014 for later years). An increase in ARB is visible during 2014-15 to 2017-18 both in absolute terms as well as relative of GDP. Government had used active debt management in year 2013-14 to smoothen the redemption profile in 2014-15. Budget 2014-15 also proposed switches and buyback for another Rs. 50,000 crore. Continuance of this strategy will enable government to reduce redemption pressure in year 2015-16 to 2017-18 also. 17 Includes market loans as well as other items in internal debt, in case of State Governments. 32 Crore 300000 250000 200000 150000 100000 50000 0 2010-11 2011-12 Assessment, Emerging Issues and Road Ahead Chart 5.5: Maturity Profil....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e of Central Government Dated Securities 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 2025-26 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 0.0 Maturity amount 2. Floating Rate Debt Government debt is predominantly at fixed coupon rates. State governments do not issue any floating rate debt, while Central Government issues a small amount. At end-March 2014 outstanding floating rate debt issued domestically amounted to 45,942 crore constituting 1.0 per cent of public debt and 0.4 per cent of GDP (Table 5.4).A part of external debt is also at floating rates, linked to Maturity amount as % GDP (right scale) LIBOR. At end-March 2014, such external debt stood at 1,04,902 crore, constituted 2.3 per cent of public debt and 0.9 per cent of GDP. Taking both components together, total floating rate debt works out to be 1.3 per cent of GDP at end-March 2014. Share of floating rate debt in Central Government public debt was 3.3 per cent, while it represented 2.4 per cent of the general government public debt at end-March 2014. Table 5.4: Floating Debt of the Central Government Internal Floating Debt Exte....
X X X X Extracts X X X X
X X X X Extracts X X X X
....rnal Floating Debt Total Floating Debt Per cent of Per cent of Public Debt GDP Year Per cent of Per cent Per cent of Per cent Public Debt of GDP Public Debt of GDP 1 2 3 4 5 6 7 2001-02 0.3 0.1 3.7 1.7 3.9 1.9 2002-03 0.2 0.1 2.2 1.1 2.5 1.2 2003-04 1.0 0.5 1.4 0.7 2.4 1.1 2004-05 2.5 1.1 1.6 0.7 4.1 1.8 2005-06 2.3 1.0 1.8 0.8 4.1 1.7 2006-07 2.1 0.8 2.0 0.8 4.1 1.6 2007-08 1.9 0.7 2.0 0.7 3.9 1.5 2008-09 1.6 0.6 2.5 1.0 4.1 1.6 2009-10 1.6 0.6 2.1 0.8 3.7 1.5 2010-11 1.5 0.6 2.4 0.9 3.8 1.4 2011-12 1.4 0.5 2.4 0.9 3.7 1.5 2012-13 1.1 0.4 2.3 0.9 3.3 1.4 2013-14 1.0 0.4 2.3 0.9 3.3 1.3 Note: In year 2013-14 total inflation index bonds issued were 0.06 per cent of GDP and 0.14 per cent of public debt. The low share of floating rate debt insulates the debt portfolio from interest rate volatility. This imparts stability to the budget. Nevertheless, for development of the government securities market and given the Government's responsibility to provide investors with a diversified range of risk free instruments, it may be desirable to maintain a regular supply of flo....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ating rate instruments. 33 Per cent of GDP Government Debt: Status Paper A related instrument is the inflation indexed bond (IIB) which has a fixed real rate of interest but whose nominal interest payments vary with inflation. Subsequent to the announcement made in the Union Budget 2013-14 regarding the introduction of inflation protected instruments, the Government issues such bonds for institutional investor, linked to Wholesale Price Index(WPI), as well as for retail investors, linked to Consumer Price Inflation(CPI) (called Inflation Indexed National Saving Certificate) in the 2013-14. 3. Origin of Debt - Domestic and External As discussed earlier in the chapter on public debt, government debt in India is raised from a predominantly domestic investor base. The share of external debt has also seen a secular decline, from 10.8 per cent of general government debt at end-March 2002 to 5.1 per cent at end-March 2014. As per cent of GDP, external debt declined to 3.3 per cent from 8.5 per cent over the same period (Chart 5.6). The low share of external debt insulates the debt portfolio from currency risk. Chart 5.6: External Debt of the Government Per cen....
X X X X Extracts X X X X
X X X X Extracts X X X X
....t 20 18 16 14 12 208 6 4 10 2 0 2001-02 2003-04 2005-06 2007-08 2009-10 2011-12 2013-14 % of Centre Total Debt % of GDP % of Centre Public Debt % of Combined Debt In the recent past, interest rates in the international financial markets have been very low. In this backdrop there have been suggestions that it may be beneficial for the Government to borrow from international financial market in terms of increasing the accessible pool of savings for the economy, broadening the investor base for Government borrowings, developing benchmarks for the Indian corporate sector borrowings abroad, etc. There are, of course, certain risks such as currency risk, exposure to the volatility in global capital markets, etc. Any adverse event in international financial markets may have implication on the country's ability to borrow. The decision to issue foreign currency denominated sovereign bonds cannot be based on relative cost alone. A study in this regard, which 34 was included in the last year's Status Paper, suggested that hedged external debt performs better than un-hedged external debt in terms of cost and volatility. However, even hedged external ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....debt does not seem to be the cheaper alternative to internal debt and witnessed more volatility than internal debt over the 5 year of study (2007-12). The need for a government to access international capital markets should be justified in the context of overall savings and investment requirements of economy. If a government decides to issue sovereign bonds, it would require establishing a regular and predictable schedule of issuance leading to a build up of interest and redemption payments. Therefore, the balance of payments (BOP) implications of external borrowing should also be clearly appreciated. 4. Ownership Pattern Assessment, Emerging Issues and Road Ahead increased (Chart 5.7). Since insurance and provident funds are long-term investors, a secular in their share complements increase Government's endeavour to lengthen the maturity profile of its debt portfolio without undue pressure on yields. Historically, commercial banks have been the predominant investor category in Government securities. Over time, while remaining the largest investor class, their share has declined, while the shares of insurance and provident funds have Chart 5.7: Ownership....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... Pattern of Central Government Securities Per cent of Total O/s G-sec 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% â– RBI â– Commercial Banks Insurance Companies â– â– Provident Funds Source: Handbook of Statistics on Indian Economy, RBI At end-March 2014, share of commercial banks stood at 44.4 per cent compared with 61.0 per cent at end-March 2001. Over the same period, the share of insurance companies increased from 18.6 per cent to 19.5 per cent and of provident funds from 2.3 per cent to 7.2 per cent. In recent years, the â– PDs â– Others share of FIIs has increased consistently and it represented 1.68 per cent of total government securities at end-March 2014 (Chart 5.8). The largely domestic and institutional investor profile contributes to stable demand for government securities. Chart 5.8: Holding Pattern of Government Securities (March-14: outer ring: March-13: inner ring] 16.05 16.99 7.18 7.37 1.68 1.61 1.14 0.79 2.81 2.76 5.92 6.12 9.36 18.56 19.54 35.42 34.50 9.04 â– Commercial Banks â– Bank-PDs â– Non-Bank PDs â– Insurance Companies Mutual Funds Co-operative Banks â– Finan....
X X X X Extracts X X X X
X X X X Extracts X X X X
....cial Institutions Corporates FIIs â– Provident Funds â– RBI Others 35 Government Debt: Status Paper In continuation to the assessment of the current debt profile of the Government an attempt is made Box 5.1 :Anticipated Government Debt structure over the next three years to anticipate Government Debt Structure over next three years below. (Box 5.1) Ownership: As discussed in para 4, ownership pattern has diversified over the years. While the share of commercial banks has been declining, share of insurance companies and of Provident/Pension Funds (PFS) has increased. In the next three years, it is expected that domestic and institutional investor ownership base would continue to be large with increasing share of Insurance and PF companies primarily owing to proposed reforms in Insurance Laws, opening of insurance sector to foreign investment and increased coverage of the PFs. The investment limit for foreign portfolio investors in government securities will continue to be reviewed periodically based on evolving policy preference. The appropriate level of foreign ownership of Government debt is not a single number but a dynamic decision made in accordanc....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e with a variety of macroeconomic factors including the country's overall external debt position, current account deficit, size of Government borrowing program, etc. Currency: As discussed in para 3, in terms of currency, India's public debt is predominantly in domestic currency with external debt constituting 8.1 per cent of the public debt at end-March 2014. All the external debt is contracted by the Central Government and most of external debt is from multilateral agencies such as IDA, IBRD etc. There is no borrowing from international markets. Instrument type: As discussed in para 2, Government debt is predominantly at fixed rates. At end-March 2014 domestically issued, outstanding floating rate debt constituted just 0.9 per cent of total public debt. India has commenced issue of Inflation Indexed Bonds. We expect in near future fix coupon rate will continue to have major share in borrowings. Maturity Profile: Currently, the tenor of dated securities goes up to 30 years. As seen in chapter 2, the weighted average maturity of securities under new issuances has been increasing in recent years. The weighted average maturity of outstanding stock ranged between 9.60 y....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ears (minimum) to 10.59 years (maximum) during the last 10 years. While it has generally been the endeavour to elongate the maturity profile, the tenor of new issuances is a function of acceptable roll over risk as well as market appetite across various maturity segments. The increased share of insurance companies and provident funds in ownership reflects the growing appetite for longer dated paper. It is expected that the average maturity of the outstanding stock will remain within the same range, with an elongation bias of maturity commensurate with market demand. 5. Sustainability Indicators of Debt Traditionally debt sustainability is assessed in terms of primary deficit and interest cost, relative to nominal GDP growth rate. There is little consensus with regard to a level of debt that may be considered unsustainable. There are instances of countries with debt/GDP ratios close to or higher than 100 per cent without doubts on their ability to service debt. A secularly rising debt/GDP ratio can nonetheless be considered as leading towards un- sustainability. Symmetrically, a secularly falling debt/GDP ratio can be considered as leading 36 towards stability. I....
X X X X Extracts X X X X
X X X X Extracts X X X X
....n this chapter, assessment of the sustainability of public debt is made using trends observed in critical variables. Level of Debt The trend in level of debt is the first such indicator which points toward long and medium- term sustainability of the public debt. The level of debt reflects the cumulative effect of Government borrowings over time, which tends to be higher for a developing economy due to the need for creating adequate infrastructure. India's debt level went up consistently during 1980s and 1990s and Assessment, Emerging Issues and Road Ahead the combined debt-GDP ratio of the Centre and States reached a peak of 83.3 per cent by the end of 2003-04. Thereafter, debt-GDP ratio has shown a secular decline. The marginal increase during 2008-09 and 2009-10 was mainly on account of global factors (Chart 5.9). General government debt/GDP ratio stood at 65.2 per cent at end-March 2013 compared to 65.3per cent at end-March 2012. Reduction in debt took place at both the Central and State level. Chart 5.9: Trends in Debt-GDP Ratio of the Government Per cent of GDP RO20° 90 80 70 60 50 40 30 20 10 1*111111111 Centre The debt-GDP ratio is lik....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ely to continue to trend downward in the years ahead. The estimates for debt GDP-ratio upto 2016-17 for the Central Government, States Combined 2013-14 RE provided in the Medium Term Fiscal Policy (MTFP) Statement, underscore the commitment to sustainable debt trajectory (Table 5.5). Table 5.5 : Debt-GDP Ratio (per cent) of the Centre Estimates MTFP 2013-14 46.0 44.9 2014-15 45.4 42.9 2015-16 2016-17 43.6 41.5 Kelkar Committee Interest Payments The interest cost of debt is another crucial indicator of the sustainability of Government debt. The ratio of interest payments to revenue receipts (IP/RR) shows a secular decline for both the 60 50 40 Central and State governments (Chart 5.10), notwithstanding the marginal increase in recent years due to increased borrowings requirements post-financial crisis of 2008-09. Chart 5.10: Interest Payments to Revenue Receipts Ratio Per cent 22° 30 20 10 Centre States Combined 37 Government Debt: Status Paper Centre's IP/RR was placed at 36.9 per cent in 2013-14 as compared with 35.6 per cent in 2012-13 and 53.4 per cent in 2001-02. Similarly, States IP/ RR ratio declined to 11.4 per cent in 2013-....
X X X X Extracts X X X X
X X X X Extracts X X X X
....14 from 24.7 per cent in 2001-02. Combined IP/RR of Centre and States in 2013-14 was placed at 23.2 per cent compared to 37.2 per cent in 2001-02. Average Interest Cost Average interest cost (AIC) is arrived at by dividing interest payments during a year with average debt stock 18. A continuously declining average interest cost augurs well for the stability of government debt. Trend in average interest cost of both the Centre and states showed a downward movement over 2000s. Centre's AIC declined to 6.7 per cent in 2013-14 from 8.1 per cent in 2000- 01, while states' AIC declined to 7.5 per cent from 9.2 per cent over the same period (Chart 5.11). A comparison of AIC with nominal GDP growth rate reinforces the sustainability of public debt. Nominal growth rate in GDP has been well above the average interest cost, implying that the growth in revenue generation through GDP is likely to exceed the growth in interest obligations. This is likely to further push down the IP/RR ratio providing more fiscal space for other expenditure. Chart 5.11: Average Interest Cost (AIC) and Nominal GDP Growth 10 10 9 00 8 Per cent 7 6 5 2000-01 2001-02 2002-03 2003-0....
X X X X Extracts X X X X
X X X X Extracts X X X X
....4 2005-06 2004-05 2006-07 2008-09 2007-08 Centre AIC States AIC 2009-10 20 2011-12 2010-11 15 10 Nominal GDP growth (%) 2012-13 5 ° 2013-14RE Nominal GDP Growth Similarly, a comparison between the difference in the average interest cost and nominal GDP growth vis-a-vis the primary deficit (as ratio of the nominal GDP) over the same period also supports the sustainability of Centre's Debt (Chart 5.12). Chart 5.12: Difference between GDP Growth and Centre AIC vis-à -vis Centre's Primary Deficit 20.0 15.0 10.0 Per cent 5.0 0.0 -5.0 2013-14RE Nominal GDP Growth minus Centre's AIC Centre Primary Deficit (ratio to GDP) 18 Average debt stock is a simple average of outstanding debt at the beginning and at the end of the year. 38 Assessment, Emerging Issues and Road Ahead To sum up, India's Government debt portfolio is characterized by favourable sustainability indicators and right profile. Share of short-term debt is within safe limits, although it has risen in recent years. Most of the debt is at fixed interest rates which minimizes volatility on the budget. Debt is mostly of domestic origin implying that currency risk to the debt portfo....
X X X X Extracts X X X X
X X X X Extracts X X X X
....lio is insignificant, as is the likely impact of volatile international capital markets. Conventional indicators of debt sustainability, level and cost of debt, indicate that debt profile of government is within sustainable limits, and consistently improving. 39 Government Debt: Status Paper ANNEXES Annex 1: Debt Position of the Central Government (crore) Actuals Provisional Estimates RE BE COMPONENTS OF DEBT 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 1 2 3 4 5 6 7 8 A. PUBLIC DEBT (B+C) 2151595 2471130 2833462 B. INTERNAL DEBT (i+ii) 2028549 2337047 2675823 3400710 3230622 3941855 4433026 4960065 3764566 4250297 4771602 (i) Under MSS (a) Dated Securities 79773 2737 0 0 0 0 20000 (b) Treasury Bills 9000 0 0 0 0 0 Total (a+b) 88773 2737 0 0 0 0 20000 (ii) Market Loans (a) Dated Securities 1433720 (b) Treasury Bills 239979 1832145 230210 2157559 237969 2593770 364835 3061127 3515028 418185 440863 3976233 475416 (c) Compensation & Other Bonds 48996 40221 32495 20208 15326 15010 14119 (d) Securities issued to International Fin. Instns 23085 24483 29315 29626 32226 30088 28299 (....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e) Securities against small savings 193997 207252 218485 (f) Spl. Sec. against POLIF 0 0 0 Total (a+b+c+d+e+f) 1939776 2334310 2675823 C. External Debt 123046 134083 157639 208183 14000 3230622 170088 216808 20894 3764566 4250297 177289 182729 228413 236641 20894 20894 4751602 188463 D. Other Liabilities (a) National Small Savings Fund 470141 521194 568614 582011 597737 622135 647021 (b) State Provident Fund 83377 99433 111947 (c) Other Account 325383 318749 295989 122751 277904 133672 143672 155672 257424 234992 296999 (d) Reserve funds & Deposit (i + ii) 128682 119453 128762 (i) Bearing Interest 78384 72875 70421 (ii) Not bearing interest 50298 46578 58340 Total (a+b+c+d) 1007583 1058830 1105312 133877 74413 59464 1116542 139904 153625 162901 83871 96133 106543 56033 57492 56358 1128737 1154424 1262592 E. TOTAL LIABILITIES 3159178 3529960 3938774 4517252 5070592 5587449 6222658 (A+D) 43 44 Annex II : Statement showing Maturity Profile of Market Loans including Floating Rate Bonds (FRBs), Converted Special Securities and Special Securities as on 31st March, 2014 Government Debt: Status Paper ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....MARKET LOANS Year of Maturity Fixed Coupon Floating Conversion of Special Dated Securities Rate Bonds Securities issued to Dated Securities Total Oil Col.(2) under MSS to SPECIAL SECURITIES Fertiliser Food Others Marketing Companies Corporation Companies of India Total Col.(8) Grand Total Col.(7) to + Col.(6) Banks Others (1) (2) (3) (4) (6) (7) (8) (9) (10) (11) 2014-15 2015-16 128795.34 5000.00 0.00 5000.00 0.00 138795.34 3500.00 0.00 0.00 0.00 166877.43 12000.00 2016-17 225129.85 6000.00 2017-18 242773.60 3000.00 2018-19 237347.88 2019-20 164000.00 2020-21 221000.00 13000.00 2021-22 282213.32 2022-23 254000.00 2023-24 129000.00 2024-25 102000.00 2025-26 90000.00 2026-27 177000.00 2027-28 161000.00 2028-29 11000.00 2030-31 107000.00 2031-32 88000.00 2032-33 119000.03 2034-35 60000.00 350.00 2035-36 52000.00 2036-37 86000.00 2038-39 13000.00 2040-41 72000.00 2041-42 90000.00 2042-43 56000.00 ggggggggggggg88888888888 0.00 3000.00 181877.43 0.00 0.00 0.00 0.00 231129.85 0.00 11000.00 256773.60 0.00 6130.00 0.00 243477.88 0.00 12000.00 0.00 176000.00 0.00 0.00 2....
X X X X Extracts X X X X
X X X X Extracts X X X X
....34000.00 1632.33 0.00 283845.65 10000.00 5464.69 11000.00 270464.69 0.00 8000.00 137000.00 31150.00 0.00 0.00 0.00 16687.95 102000.00 52860.17 106687.95 4388.55 0.00 181388.55 36913.00 2679.57 0.00 163679.57 0.00 0.00 11000.00 0.00 0.00 107000.00 2687.11 0.00 90687.11 3956.50 0.00 122956.53 0.00 0.00 60350.00 0.00 0.00 52000.00 0.00 0.00 86000.00 0.00 0.00 13000.00 0.00 0.00 72000.00 0.00 0.00 90000.00 0.00 0.00 56000.00 88888888-88888888888888 0.00 0.00 0.00 0.00 0.00 0.00 8273.85 5000.00 3880.00 0.00 5000.00 3550.87 0.00 0.00 6200.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 888888888888888888888888 100.00 400.00 0.00 0.00 88888888888888888888888 Col.(11) Col.(12) (12) (Amount in Crore) 3500.00 0.00 181877.43 0.00 231129.85 (13) 142295.34 0.00 256773.60 0.00 243477.88 176000.00 100.00 234100.00 10400.00 294245.65 0.00 13273.85 283738.54 9996.01 45026.01 182026.01 0.00 57860.17 159860.17 3550.87 110238.82 43113.00 224501.55 163679.57 0.00 0.00 11000.00 107000.00 0.00 90687.11 0.00 122956.53 0.00 60350.00 0.00 52000.00 86000.00 0.00 13000.00 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 0.00 72000.00 90000.00 0.00 56000.00 2043-44 39472.28 0.00 0.00 0.00 0.00 39472.28 0.00 0.00 0.00 0.00 0.00 39472.28 Total 3374609.7 39350 20809 72818 0 3507586.43 134423.17 15704.72 16200.00 10496.01 176823.90 3644938.05 Memo Items: Unclaimed Amount/ Outstanding agianst matured Securities Total 414.13 3508000.56 Annex-III: Statement showing Weighted Average Rate of Interest (Maturity year wise) on Market Loans including Floating Rate Bonds (FRBS), Converted Special Securities and Special Securities as on 31st March, 2014 MARKET LOANS Year of Maturity Fixed Coupon Dated Floating Conversion of Special Rate Bonds Securities issued to Dated Securities Wtd Average Col.(2) Securities under MSS to SPECIAL SECURITIES Oil Fertiliser Marketing Companies Companies Food Others Corporation of India Wtd Average Col.(8) Wtd Average Col.(7) and Col.(6) to Col.(12) Banks Others Col.(11) (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (Weighted Average Rate of Interest) (* crore) 2014-15 7.46 7.54 0.00 7.37 0.00 7.46 7.60 0.00 0.00 0.00 7.60 7.46 2015-16 7.45 8.67 0.00 7.38 0.00 7.53 0.....
X X X X Extracts X X X X
X X X X Extracts X X X X
....00 0.00 0.00 0.00 0.00 7.53 2016-17 7.93 7.62 0.00 0.00 0.00 7.92 0.00 0.00 0.00 0.00 0.00 7.92 2017-18 7.69 9.13 0.00 6.81 0.00 7.67 0.00 0.00 0.00 0.00 0.00 7.67 2018-19 7.67 0.00 0.00 5.69 0.00 7.62 0.00 0.00 0.00 0.00 0.00 7.62 2019-20 6.93 0.00 0.00 6.18 0.00 6.88 0.00 0.00 0.00 0.00 0.00 6.88 2020-21 8.21 8.92 0.00 0.00 0.00 8.25 0.00 0.00 0.00 11.50 11.50 8.25 2021-22 8.42 0.00 8.20 0.00 0.00 8.42 7.94 0.00 0.00 9.75 8.01 8.41 2022-23 8.16 0.00 8.10 5.87 0.00 8.07 0.00 6.88 8.15 0.00 7.36 8.04 2023-24 7.45 0.00 0.00 6.17 0.00 7.38 8.17 8.30 0.00 8.35 8.22 7.59 2024-25 8.97 0.00 0.00 0.00 0.00 8.97 7.41 0.00 8.03 0.00 7.46 8.43 2025-26 8.20 0.00 0.00 5.97 0.00 7.85 0.00 7.95 0.00 0.00 7.95 7.85 2026-27 8.45 0.00 8.24 0.00 0.00 8.45 7.40 0.00 8.23 0.00 7.52 8.27 2027-28 8.06 0.00 8.27 0.00 0.00 8.06 0.00 0.00 0.00 0.00 0.00 8.06 2028-29 6.13 0.00 0.00 0.00 0.00 6.13 0.00 0.00 0.00 0.00 0.00 6.13 2030-31 9.01 0.00 0.00 0.00 0.00 9.01 0.00 0.00 0.00 0.00 0.00 9.01 2031-32 8.28 0.00 8.28 0.0....
X X X X Extracts X X X X
X X X X Extracts X X X X
....0 0.00 8.28 0.00 0.00 0.00 0.00 0.00 8.28 2032-33 8.14 0.00 8.32 0.00 0.00 8.14 0.00 0.00 0.00 0.00 0.00 8.14 2034-35 7.50 7.17 0.00 0.00 0.00 7.50 0.00 0.00 0.00 0.00 0.00 7.50 2035-36 7.40 0.00 0.00 0.00 0.00 7.40 0.00 0.00 0.00 0.00 0.00 7.40 2036-37 8.33 0.00 0.00 0.00 0.00 8.33 0.00 0.00 0.00 0.00 0.00 8.33 2038-39 6.83 0.00 0.00 0.00 0.00 6.83 0.00 0.00 0.00 0.00 0.00 6.83 2040-41 8.30 0.00 0.00 0.00 0.00 8.30 0.00 0.00 0.00 0.00 0.00 8.30 2041-42 8.83 0.00 0.00 0.00 0.00 8.83 0.00 0.00 0.00 0.00 0.00 8.83 2042-43 8.30 0.00 0.00 0.00 0.00 8.30 0.00 0.00 0.00 0.00 0.00 8.30 2043-44 9.23 0.00 0.00 0.00 0.00 9.23 0.00 0.00 0.00 0.00 0.00 9.23 Weighted Average Interest Rate as on 31st March, 2014 8.02 8.47 8.23 6.27 0.00 7.99 7.63 7.47 8.14 8.43 7.71 8.07 45 Government Debt: Status Paper Annex-IV : List of Government of India Securities Outstanding as on March 31, 2014 - Maturity Year Wise (crore) Maturity Sl.No. Nomenclature Date of Issue Date of Maturity Security wise Outstanding Year Wise Stock Outstanding stock 1 2 3 4 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....5 6 2014-15 1 7.37% GS,2014 (Conv) 16-Apr-2002 23 456780 6.07% GS,2014 15-May-2009 16-Apr-2014 40,751.20 15-May-2014 27,958.20 Govt. of India Floating Rate Bonds, 2014 20-May-2003 20-May-2014 5,000.00 10.00% Loan, 2014 7.32% GS,2014 10.50% Loan, 2014 20-May-2003 20-May-2014 1,403.63 30-May-1983 30-May-1983 13,000.00 7.56% GS,2014 20-Oct-2009 29-Oct-1984 11.83% GS,2014 3-Nov-2008 9 10.47% GS,2015 12-Nov-1999 20-Oct-2014 1,025.36 29-Oct-2014 40,845.08 12-Nov-2014 5,042.46 12-Feb-2015 3,769.40 1,38,795.34 2015-16 10 10.79% GS,2015 19-May-2000 11 11.50% GS Loan, 2015 21-May-1985 12 6.49% GS,2015 8-Jun-2009 19-May-2015 999.38 21-May-2015 1,899.16 8-Jun-2015 39,500.14 13 7.17% GS,2015 14-Jun-2010 14-Jun-2015 55,449.93 14 Govt. of India Floating Rate Bonds, 2015 2-Jul-2004 15 156 11.43% GS,2015 Govt. of India Floating 7-Aug-2000 2-Jul-2015 7-Aug-2015 7,204.30 6000 Rate Bonds, 2015 || 10-Aug-04 17 7.38% GS,2015 (Conv) 3-Sep-2002 18 9.85% GS,2015 16-Oct-2001 10-Aug-2015 6000 3-Sep-2015 57,386.74 16-Oct-2015 7,437.78 1,81,877.43 2016-17 222 2222 19 7.59% GS,2016 12-Apr-2006 12-Apr-2016 68,000.00 20 10.71% GS....
X X X X Extracts X X X X
X X X X Extracts X X X X
....,2016 19-Apr-2001 19-Apr-2016 9,000.00 21 Govt. of India Floating Rate Bonds, 2016 7-May-2004 7-May-2016 6000 5.59% GS,2016 4-Jun-2004 4-Jun-2016 6,000.00 23 12.30% GS,2016 2-Jul-1999 2-Jul-2016 13,129.85 24 7.02% GS,2016 25 8.07% GS,2017 17-Aug-2009 15-Jan-2002 17-Aug-2016 60,000.00 15-Jan-2017 69,000.00 2,31,129.85 2017-18 27 28 22 22 26 7.49% GS, 2017 (Conv) 16-Apr-2002 16-Apr-2017 58,000.00 Govt. of India Floating Rate Bonds, 2017 02-Jul-02 8.07% GS,2017 29 7.99% GS,2017 3-Jul-2012 9-Jul-2007 2-Jul-2017 3-Jul-2017 50,000.00 9-Jul-2017 71,000.00 3000 30 7.46% GS,2017 28-Aug-2002 28-Aug-2017 57,886.80 31 6.25% GS,2018 (Conv) 2-Jan-2003 2-Jan-2018 16,886.80 2,56,773.60 2018-19 2313 7.83% GS,2018 11-Apr-2011 11-Apr-2018 73,000.00 8.24% GS,2018 22-Apr-2008 22-Apr-2018 75,000.00 34 10.45% GS,2018 30-Apr-2001 30-Apr-2018 3,716.00 35 5.69% GS, 2018 (Conv) 25-Sep-2003 25-Sep-2018 16,130.00 46 Sl.No. Nomenclature Date of Issue Date of Maturity Security wise Stock Outstanding (crore) Maturity Year Wise Outstanding stock 1 2 3 4 5 80 w co 36 12.60% GS,2018 23-Nov-1998 37 5.64% GS,2019 38 6.05% ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....GS 2019 2-Jan-2004 2-Feb-2009 23-Nov-2018 12,631.88 2-Jan-2019 10,000.00 2-Feb-2019 53,000.00 2,43,477.88 2019-20 39 7.28% GS 2019 3-Jun-2013 3-Jun-2019 53,000.00 40 6.05% GS,2019 (Conv) 12-Jun-2003 12-Jun-2019 11,000.00 41 6.90% GS,2019 13-Jul-2009 42 10.03% GS,2019 9-Aug-2001 43 6.35% GS,2020 (Conv) 2-Jan-2003 44 8.19% GS, 2020 16-Jan-2012 6,000.00 2-Jan-2020 61,000.00 16-Jan-2020 74,000.00 13-Jul-2019 45,000.00 9-Aug-2019 2,50,000.00 2020-21 45 10.70% GS,2020 22-Apr-2000 46 7.80% GS, 2020 3-May-2010 22-Apr-2020 6,000.00 3-May-2020 60,000.00 47 Govt. of India Floating Rate Bonds, 2020 48 49 %% 8.12% GS, 2020 21-Dec-09 10-Dec-2012 11.60% GS,2020 27-Dec-2000 21-Dec-2020 13000 10-Dec-2021 76,000.00 27-Dec-2021 5,000.00 1,60,000.00 2021-22 50 7.80% GS,2021 11-Apr-2011 11-Apr-2021 68,000.00 51 7.94% GS, 2021 24-May-2006 24-May-2021 52 10.25% GS,2021 30-May-2001 49,000.00 30-May-2021 26,213.32 53 8.79% GS, 2021 8-Nov-2011 8-Nov-2021 83,000.00 54 8.20% GS,2022 15-Feb-2007 15-Feb-2022 57,632.33 2,83,845.65 2022-23 55 56 57 à½$8 8.35% GS,2022 14-May-2002 14-May-2022 44,000.00 8.15% GS, 2022 11-J....
X X X X Extracts X X X X
X X X X Extracts X X X X
....un-2012 11-Jun-2022 83,000.00 8.08% GS, 2022 2-Aug-2007 58 5.87% GS 2022 (Conv) 28-Aug-2003 59 8.13% GS,2022 21-Sep-2007 2-Aug-2022 61,969.41 28-Aug-2022 11000 21-Sep-2022 70,495.28 2,70,464.69 2023-24 60 6.30% GS,2023 9-Apr-2003 9-Apr-2023 13,000.00 61 7.16% GS,2023 20-May-2013 20-May-2023 77,000.00 62 6.17% GS,2023 (Conv) 12-Jun-2003 63 8.83% GS,2023 25-Nov-2013 12-Jun-2023 14,000.00 25-Nov-2023 33,000.00 1,37,000.00 2024-25 64 7.35% GS,2024 22-Jun-2009 65 9.15% GS,2024 14-Nov-2011 22-Jun-2024 10,000.00 14-Nov-2024 92,000.00 1,02,000.00 2025-26 929 66 8.20% GS,2025 24-Sep-2012 67 5.97% GS 2025 (Conv) 25-Sep-03 24-Sep-2025 90,000.00 25-Sep-2025 16687.95 1,06,687.95 2026-27 68 8.33% GS, 2026 69 10.18% GS, 2026 9-Jul-2012 11-Sep-2001 70 8.24% GS,2027 15-Feb-2007 9-Jul-2026 90,000.00 11-Sep-2026 15,000.00 15-Feb-2027 76,388.55 1,81,388.55 47 Government Debt : Status Paper Sl.No. Nomenclature Date of Issue Date of Maturity Security wise Outstanding (crore) Maturity Year Wise Stock Outstanding stock 3 4 5 1 2027-28 71 8.26% GS,2027 2-Aug-2007 2-Aug-2027 73,427.33 72 8.28% GS 2027 21-Sep-2007 73....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 6.01% GS,2028 25-Mar-2003 21-Sep-2027 75,252.24 25-Mar-2028 15,000.00 1,63,679.57 2028-29 74 6.13% GS,2028 4-Jun-2003 4-Jun-2028 11,000.00 11,000.00 2030-31 75 9.20% GS,2030 76 8.97% GS,2030 30-Sep-2013 5-Dec-2011 30-Sep-2030 17,000.00 5-Dec-2030 90,000.00 1,07,000.00 2031-32 77 8.28% GS,2032 15-Feb-2007 15-Feb-2032 90,687.11 90,687.11 2032-33 78 8.32% GS, 2032 2-Aug-2007 79 7.95% GS,2032 28-Aug-2002 80 8.33% GS 2032 21-Sep-2007 2-Aug-2032 62,434.05 28-Aug-2032 59,000.00 21-Sep-2032 1522.48 1,22,956.53 2034-35 81 7.50% GS,2034 10-Aug-2004 10-Aug-2034 60,000.00 82 Govt. of India Floating Rate Bonds, 2035 25-Jan-05 25-Jan-2035 350.00 60,350.00 2035-36 83 7.40% GS,2035 9-Sep-2005 9-Sep-2035 52,000.00 52,000.00 2036-37 84 8.33% GS,2036 7-Jun-2006 7-Jun-2036 86,000.00 86,000.00 2038-39 85 6.83% GS,2039 19-Jan-2009 19-Jan-2039 13,000.00 13,000.00 2040-41 86 8.30% GS,2040 2-Jul-2010 2-Jul-2040 72,000.00 72,000.00 2041-42 87 8.83% GS,2041 12-Dec-2011 12-Dec-2041 90,000.00 90,000.00 2042-43 88 2043-44 89 8.30% GS, 2042 31-Dec-2012 31-Dec-2042 56,000.00 56,000.00 9.23% GS, 2043 23-Dec-2013 23-Dec-....
X X X X Extracts X X X X
X X X X Extracts X X X X
....2043 39,472.28 39,472.28 Grand Total 35,07,586.43 35,07,586.43 48 Annex - V: List of Government of India Securities Outstanding as on March 31, 2014 - Interest Rate Wise (crore) Sl.No. Nomenclature of Govt. Security 1 2 Coupen (per cent) Date of Maturity Amount Outstanding Sub Total % of Total Outstanding 3 4 5 6 7 GOI Securities bearing Interest rate less than or equal to 7% 1 5.59% GS,2016 2 5.64% GS,2019 3 5.69% GS, 2018 (Conv) 4 5.87% GS 2022 (Conv) 5.59 4-Jun-2016 5.64 2-Jan-2019 5.69 25-Sep-2018 5.87 28-Aug-2022 6,000.00 10,000.00 16,130.00 5 5.97% GS 2025 (Conv) 5.97 25-Sep-2025 11,000.00 16,687.95 6 6.01% GS,2028 6.01 25-Mar-2028 15,000.00 7 6.05% GS 2019 6.05 2-Feb-2019 53,000.00 8 6.05% GS,2019 (Conv) 6.05 12-Jun-2019 11,000.00 9 6.07% GS,2014 6.07 15-May-2014 27,958.20 10 6.13% GS, 2028 6.13 4-Jun-2028 11,000.00 11 6.17% GS, 2023 (Conv) 6.17 12-Jun-2023 14,000.00 12 6.25% GS,2018 (Conv) 6.25 2-Jan-2018 16,886.80 13 6.30% GS, 2023 6.30 9-Apr-2023 13,000.00 14 6.35% GS,2020 (Conv) 6.35 2-Jan-2020 61,000.00 15 6.49% GS,2015 6.49 8-Jun-2015 39,500.14 16 6.83% GS, 2039 6.83 17 6.90% ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....GS,2019 6.90 19-Jan-2039 13,000.00 13-Jul-2019 45,000.00 3,80,163.09 10.8 GOI Securities bearing Interest rate above 7% but less than or equal to 8% 18 7.02% GS,2016 7.02 17-Aug-2016 60,000.00 19 7.16% GS,2023 20 7.17% GS, 2015 7.16 20-May-2023 7.17 14-Jun-2015 77,000.00 55,449.93 21 Govt. of India Floating Rate Bonds, 2035 7.17 25-Jan-2035 350.00 2222222235 7.28% GS 2019 7.28 3-Jun-2019 53,000.00 7.32% GS,2014 7.32 30-May-1983 13,000.00 24 7.35% GS,2024 7.35 22-Jun-2024 10,000.00 7.37% GS,2014 (Conv) 7.37 16-Apr-2014 40,751.20 26 7.38% GS,2015 (Conv) 7.38 3-Sep-2015 57,386.74 27 7.40% GS,2035 7.40 9-Sep-2035 52,000.00 28 7.46% GS,2017 29 7.46 28-Aug-2017 57,886.80 7.49% GS, 2017 (Conv) 7.49 16-Apr-2017 58,000.00 30 7.50% GS, 2034 7.50 10-Aug-2034 60,000.00 31 Govt. of India Floating Rate Bonds, 2014 33 32 7.56% GS,2014 7.54 20-May-2014 7.56 29-Oct-2014 5,000.00 40,845.08 33 Govt. of India Floating Rate Bonds, 2015 7.57 2-Jul-2015 34 7.59% GS,2016 7.59 12-Apr-2016 6,000.00 68,000.00 35 Govt. of India Floating Rate Bonds, 2016 7.62 7-May-2016 6,000.00 36 7.80% GS,2020 7.80 3-May-2020 60,000.00 37 7.8....
X X X X Extracts X X X X
X X X X Extracts X X X X
....0% GS, 2021 7.80 11-Apr-2021 68,000.00 38 7.83% GS,2018 7.83 11-Apr-2018 73,000.00 39 7.94% GS,2021 7.94 24-May-2021 49,000.00 40 7.95% GS,2032 7.95 28-Aug-2032 59,000.00 41 7.99% GS,2017 7.99 9-Jul-2017 71,000.00 11,00,669.75 31.4 49 Government Debt : Status Paper (crore) Sl.No. Nomenclature of Govt. Security Coupen (per cent) Date of Amount Sub Total Maturity % of Total 1 2 3 4 5 6 Outstanding 7 GOI Securities bearing Interest rate above 8% but less than or equal to 9% 42 8.07% GS,2017 8.07 15-Jan-2017 69,000.00 43 8.07% GS,2017 8.07 44 8.08% GS,2022 8.08 3-Jul-2017 2-Aug-2022 50,000.00 61,969.41 45 8.12% GS,2020 8.12 10-Dec-2021 76,000.00 46 8.13% GS, 2022 8.13 21-Sep-2022 70,495.28 47 8.15% GS, 2022 8.15 11-Jun-2022 48 8.19% GS, 2020 49 8.20% GS,2022 50 8.20% GS,2025 51 8.24% GS,2018 52 8.24% GS,2027 8.24 83,000.00 8.19 16-Jan-2020 74,000.00 8.20 15-Feb-2022 57,632.33 8.20 24-Sep-2025 90,000.00 8.24 22-Apr-2018 75,000.00 15-Feb-2027 76,388.55 53 8.26% GS,2027 8.26 2-Aug-2027 73,427.33 54 8.28% GS 2027 8.28 21-Sep-2027 75,252.24 55 8.28% GS,2032 8.28 15-Feb-2032 90,687.11 56 8.30% GS,20....
X X X X Extracts X X X X
X X X X Extracts X X X X
....40 8.30 2-Jul-2040 72,000.00 57 8.30% GS, 2042 8.30 31-Dec-2042 56,000.00 58 8.32% GS,2032 8.32 2-Aug-2032 62,434.05 59 8.33% GS,2026 8.33 9-Jul-2026 90,000.00 60 8.33% GS 2032 8.33 21-Sep-2032 1,522.48 61 8.33% GS,2036 62 8.35% GS,2022 8.33 8.35 14-May-2022 7-Jun-2036 86,000.00 44,000.00 63 8.79% GS, 2021 8.79 8-Nov-2021 83,000.00 64 8.83% GS, 2023 65 8.83% GS, 2041 8.83 25-Nov-2023 8.83 12-Dec-2041 33,000.00 90,000.00 66 GOI Floating Rate Bonds, 2020 67 8.97% GS,2030 8.92 21-Dec-2020 8.97 5-Dec-2030 13,000.00 90,000.00 17,43,808.78 49.7 GOI Securities bearing Interest rate above 9% 68 GOI Floating Rate Bonds, 2017 9.13 2-Jul-2017 3,000.00 69 9.15% GS,2024 70 9.20% GS, 2030 71 9.23% GS,2043 9.15 14-Nov-2024 9.20 30-Sep-2030 9.23 23-Dec-2043 39,472.28 92,000.00 17,000.00 72 GOI Floating Rate Bonds, 2015 II 9.77 10-Aug-2015 6,000.00 73 9.85% GS,2015 9.85 16-Oct-2015 7,437.78 74 10.00% Loan, 2014 10.00 20-May-2014 1,403.63 75 10.03% GS,2019 10.03 9-Aug-2019 6,000.00 76 10.18% GS,2026 77 10.25% GS,2021 78 10.45% GS,2018 79 10.47% GS,2015 10.18 11-Sep-2026 10.25 30-May-2021 10.45 30-Apr-2018 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....10.47 12-Feb-2015 15,000.00 26,213.32 3,716.00 3,769.40 80 10.50% Loan, 2014 10.50 20-Oct-2014 1,025.36 81 10.70% GS, 2020 10.70 22-Apr-2020 6,000.00 82 10.71% GS,2016 10.71 19-Apr-2016 9,000.00 83 10.79% GS,2015 10.79 19-May-2015 999.38 84 11.43% GS,2015 11.43 7-Aug-2015 7,204.30 85 11.50% GS Loan, 2015 11.50 21-May-2015 1,899.16 86 11.60% GS, 2020 11.60 27-Dec-2021 5,000.00 87 11.83% GS, 2014 88 12.30% GS,2016 89 12.60% GS,2018 11.83 12-Nov-2014 12.30 2-Jul-2016 12.60 23-Nov-2018 Grand Total 35,07,586.43 35,07,586.43 100.00 5,042.46 13,129.85 12,631.88 2,82,944.81 8.1 50 Annex - VI: List of Government Securities issued to NSSF outstanding as on March 31, 2014 Nomenclature/ Name of Securities Coupon / Interest Rate Date of issue Initial Amount Outstanding Amount as at end- March 2011 (5) as at end- March 2012 (6) as at end- March 2013 (7) (crore) as at end- March 2014 (8) (1) (3) (4) Category I 10.5% Special GOI Securities 10.5 01-Apr-99 73,569.2 73,569.2 64,569.2 64,569.2 64,569.2 Category II 13.5% Special GOI Securities 13.5 8,978.9 6,285.2 5,836.3 5,387.3 4,938.4 12.5% Special GOI Securit....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ies 12.5 8,316.3 6,237.2 5,821.4 5,405.6 4,989.8 11.0% Special GOI Securities 11.0 8,754.6 7,003.6 6,565.9 6,128.2 5,690.5 9.5% Special GOI Securities 9.5 2,500.0 2,500.0 2,500.0 2,500.0 2,500.0 9.5% Special GOI Securities 9.5 12,535.7 12,535.7 12,535.7 12,535.7 12,535.7 9.5% Special GOI Securities 9.5 3,639.5 Sub-total 41,085.40 34,561.8 33,259.3 31,956.8 34,293.8 Category III 7% Special GOI Securities 2023 7.0 01-Apr-03 13,765.6 13,765.6 13,765.6 13,765.6 13,765.58 6% Special GOI Securities, 2023 6.0 30-Sep-03 32,602.3 32,602.3 32,602.3 32,602.3 32,602.28 5.95% Special GOI Securities, 2024 5.95 31-Mar-04 13,608.9 13,608.9 13,608.9 13,608.9 13,608.87 6.96% Special GOI Securities, 2024 6.96 31-Dec-04 22,665.0 22,665.0 22,665.0 22,665.0 22,665.00 7% Special GOI Securities, 2025 7.00 01-Apr-05 10,010.0 10,010.0 10,010.0 10,010.0 10,010.00 7.5% Special GOI Securities, 2025 7.6% Special GOI Securities, 2026 7.50 30-Sep-05 888.0 888.0 888.0 888.0 888.00 7.60 31-Mar-06 907.9 907.9 907.9 907.9 907.87 8.17% Special GOI Securities, 2026 8.17 30-Sep-06 2,015.9 2,015.9 2,015.9 2,015.9 2,015.85....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 7.88% Special GOI Securities, 2027 7.88 31-Mar-07 1,832.9 1,832.9 1,832.9 1,832.9 1,832.89 7.64% Special GOI Securities, 2029 7.64 30-Sep-09 6,000.0 6,000.0 6,000.0 6,000.0 6,000.00 8.21% Special GOI Securities, 2030 8.21 31-Mar-10 6,058.0 6,058.0 6,058.0 6,058.0 6,058.00 9.50% Special GOI Securities, 2033 9.50% Special GOI Securities, 2034 Sub-total 9.50 31-Mar-13 9928.00 9,928.0 9,928.00 9.50 31-Mar-14 10020.00 10,020.00 130,302.34 110,354.3 110,354.3 120,282.3 130,302.3 TOTAL 244,956.93 218,485.3 208,182.8 216,808.3 229,165.4 Note - Two securities 9.50 % Special Gol Securities 2032 issued on April 1, 2012 and September 30, 2012 have not been included to align data with the Budget document. 52 Government Debt: Status Paper 4.0 8.4 8.4 8.4 8.5 8.4 Annex - VII: Interest rate on various Small Savings Instruments Instrument Rate of interest (%) Before 1.12.2011 (2) Rate of Interest (%) w.e.f. 1.12.2011 (3) Revised Rate (%) (w.e.f. 1.4.2012) (4) Revised Rate (%) (w.e.f. 1.4.2013) (5) Revised Rate (%) (w.e.f. 1.4.2014) (6) áž‘áž» ៩ áž‚ ៈ គឺ ៖ ៖ ៖ ៖ á....
X X X X Extracts X X X X
X X X X Extracts X X X X
....– ៖ (1) Savings Deposit 3.5 4.0 1 year Time Deposit 6.3 7.7 2 year Time Deposit 6.5 7.8 3 year Time Deposit 7.3 8.0 5 year Time Deposit 7.5 8.3 5 year Recurring Deposit 7.5 8.0 5-year SCSS 9.0 9.0 5 year MIS 8.0 8.2 (6 Year MIS) 5 year NSC 8.0 8.4 (6 year NSC) 10 year NSC PPF New Instrument 8.7 8.0 8.6 9.2 8.4 8.5 8.8 8.7 Annex VIII: Donor-wise Sovereign External Debt Category (1) I. External Debt on Government (Crore) at end-March 2003 (2) 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 PR (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) Account under External Assistance (A+B) 196,067.6 184,202.8 191,270.9 194,198.5 201,199.0 A. Multilateral (1 to 5) 129,715.6 1. IDA 2. IBRD 3. ADB 4. IFAD 101,092.8 19,058.4 8,098.8 1,174.3 5. Others 291.2 B. Bilateral (1 to 6) 66,352.1 64,079.3 210,086.0 264,059.5 120,123.5 127,916.9 133,923.4 141,736.5 144,631.7 181,996.9 100,066.1 103,755.9 104,539.5 107,019.7 105,947.9 126,120.3 14,097.6 16,525.4 19,639.3 21,862.7 22,634.4 29,949.3 4,509.4 6,168.1 8,321.3 11,433.4 14,593.8 24,283.5 1,172.1 1,210.9 1,191.4 1,218.8 1,244.0 1,437.3 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....278.4 256.6 231.9 201.9 211.6 206.6 63,354.0 60,275.1 59,462.5 65,454.3 82,062.6 1. Japan 40,097.6 43,210.0 42,275.0 39,895.6 38,014.1 43,206.8 56,599.5 2. Germany 11,022.9 11,244.4 11,216.1 10,190.4 10,658.0 11,392.7 12,565.5 11,097.0 249,305.7 278,877.4 322,896.6 170,723.4 190,325.2 222,584.3 114,552.2 119,066.3 136,822.0 28,875.2 39,219.0 45,327.5 25,802.7 30,455.1 38,560.0 1,299.7 1,397.4 1,661.9 193.7 187.4 212.8 78,582.3 88,552.2 100,312.3 56,163.9 65,907.3 76,401.1 11,899.0 13,764.6 332,003.8 374,483.4 235,670.8 268,490.6 141,119.4 161,164.8 48,239.3 53,433.0 44,301.0 51,468.8 1,788.5 2,182.0 222.5 242.0 96,333.0 105,992.8 73,120.4 79,824.8 13,825.8 16,085.3 3. Russian Federation 1,969.8 2,560.6 3,576.4 4,626.6 5,760.2 6,336.0 8,249.4 7,683.8 7,485.3 6,952.7 6,396.2 6,098.9 4. France 2,862.4 2,851.2 2,803.5 2,473.8 2,446.3 2,452.0 2,406.3 1,900.8 1,750.3 1,657.4 1,514.1 2,516.8 5. USA 4,878.5 4,041.7 3,457.6 3,071.2 2,567.1 2,049.5 2,215.8 1,715.3 1,489.2 1,516.5 1,460.3 1,452.7 6. Others 5,521.0 171.5 25.5 17.6 17.0 17.4 26.2 21.5 21.1 20.1 16.3 14.4 Memo items: Multilateral....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... (per cent to total External Assistance) 66.2 65.2 66.9 69.0 70.4 68.8 68.9 68.5 68.2 68.9 71.0 71.7 Bilateral (per cent to total External Assistance) 33.8 34.8 33.1 31.0 29.6 31.2 31.1 31.5 31.8 31.1 29.0 28.3 Exchange Rates as per Finance Accounts 47.6 44.8 43.8 44.7 43.2 40.2 50.6 45.1 44.7 51.0 54.3 59.9 Source: Finance Accounts of Government of India, various years. 53 Annex - IX: Currency composition of Sovereign External Debt Currency (1) at end-March 2003 2004 2005 2006 2007 2008 (2) (3) (4) (5) (6) (7) (* Crore) 2013 2014 PR (13) 2009 2010 2011 2012 (8) (9) (10) (11) (12) Government Debt: Status Paper Special Drawing Rights 76032.6 77682.5 83012.3 84468.2 88751.3 90085.2 107323.1 US Dollar 59327.1 47535.0 50563.0 55904.5 60152.0 61869.4 84164.7 Japanese Yen 40097.6 43210.0 42275.0 39895.6 38014.1 43206.8 56599.5 Euro 16456.1 14238.1 14019.6 12664.2 13104.2 13844.7 14973.7 12999.5 98941.4 104839.7 80281.0 93598.1 56163.9 65907.3 13651.1 121951.8 126680.9 146757.5 108258.6 116036.4 128484.0 76401.1 73120.4 79824.8 15423.8 15341.8 18604.4 INR 1459.1 1316....
X X X X Extracts X X X X
X X X X Extracts X X X X
.....5 1183.8 1072.0 974.8 892.6 825.0 770.7 731.0 702.2 674.5 646.9 GBP 187.3 196.0 191.8 176.6 185.5 169.9 149.2 129.4 130.9 140.9 135.4 165.8 SW Francs 556.8 24.8 25.5 17.6 17.0 17.4 24.3 19.8 19.3 18.2 14.4 Can. Dollar 1393.4 D.Kroner 391.7 Kwaiti Dinar 132.3 Saudi Riyal 33.6 Total: 196067.6 184202.8 191271.0 194198.6 201199.0 210086.0 264059.4 249305.7 278877.4 322896.6 332003.8 374483.4 Source: Finance Accounts of Government of India, various years.<BR> News - Press release - PIB....