The Government’s public debt in the September-December quarter increased by 3.2 per cent to Rs 33,82,645 crore over the previous three-month period mainly due to higher borrowings.

The public debt at the end of September quarter was Rs 32,76,368 crore.

“This represented a quarter-on-quarter increase of 3.2 per cent (provisional) compared with an increase of 4.7 per cent in the previous quarter,” the data released by Finance Ministry today said.

Internal debt constituted 89.9 per cent of public debt, compared with 89.6 per cent at the end of the second quarter.

“The outstanding internal debt of the Government at Rs 30,41,895 crore constituted 33.9 per cent of GDP compared with 32.7 per cent at end-September 2011,” it added.

The market borrowings through dated securities increased during the second half of the fiscal by Rs 52,872 crore against the Budget estimates, in view of a shortfall in other financing items.

On a review of the Government’s overall financing requirements, the borrowings programme increased further by Rs 40,000 crore, resulting in a total increase of Rs 92,872 crore during this fiscal.

Marketable securities, consisting of rupee denominated dated securities and treasury bills/cash management bills, accounted for 79.1 per cent of total public debt during the period ended December compared with 78.4 per cent at end-September 2011.

As at end of December 2011, the proportion of debt maturing in less than one year declined to 3.7 per cent from 4.3 per cent a quarter ago, while debt maturing within 1-5 years came down to 25.3 per cent from 26.7 per cent at end-September 2011.

The 10-year bond yield increased from 8.44 per cent at end-September 2011 to 8.54 per cent at end-December 2011.

“The yields went up sharply during the quarter due to policy rate hike of 25 bps by the Reserve Bank on October 25 as well as supply concerns,” the Ministry added.

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