The amount to be borrowed is nearly Rs 2 lakh crore higher than the current year's Budget estimate of Rs 9.7 lakh crore.
Highlights
- Total market borrowings of the government for 2022-23 are estimated at Rs 11,58,719 crore.
- This is nearly Rs 2 lakh crore higher than the current year's Budget estimate of Rs 9.7 lakh crore.
- However, the gross borrowing has been revised downwards to Rs 10,46,500.
The government will borrow about Rs 11.6 lakh crore from the market in 2022-23 to meet its expenditure requirement. This is nearly Rs 2 lakh crore higher than the current year's Budget estimate of Rs 9.7 lakh crore. Total market borrowings of the government for 2022-23 are estimated at Rs 11,58,719 crore, according to the Budget document.
The Revised Estimates for the same for 2021-22 are Rs 8,75,771 crore, as against the Budget Estimates of Rs 9,67,708 crore. Gross borrowing for the next financial year will be Rs 14,95,000 crore as against Rs 12,05,500 crore Budget Estimate (BE) for 2021-22.
However, the gross borrowing has been revised downwards by nearly Rs 2 lakh crore to Rs 10,46,500 crore for the current financial year. Gross borrowing includes repayment of past loans. The government raises money from the market to fund its fiscal deficit through dated securities and treasury bills.
Government raises its market loans under the Scheme of Sale of Dated Government Securities. These auctions are conducted by the Reserve Bank of India (RBI), as debt manager to the central government. Besides, the government has completed the conversion of special securities issued in lieu of adhoc treasury bills into marketable securities during 2003-04.
The Government of India has also completed the conversion of Recapitalisation Bonds with nationalised banks into SLR (statutory liquidity ratio) marketable securities during 2007-08.
