India's External Debt

India’s external debt rose by nearly 13 per cent to $390 billion in 2012-13, mainly due to rise in short-term trade credit and external commercial borrowings (ECBs)the RBI said on Thursday June 27,2013

As per the data, share of ECBs ($120.9 billion) continued to be highest at 31 % of the total debt, followed by short term debt (24.8 %) and NRI deposits (18.2%)

As per the data of the currency composition of the debt is concerned, the U.S. dollar denominated debt continued to be the largest component with a share of 57.2%; followed by rupee (24 %);SDR (7.5%), Japanese yen (6.3 %) and euro (3.5 %).

The high current account deficit witnessed during 2012-13 and it’s financing increasingly through debt flows particularly by trade credit resulted in significant rise in India’s external debt during 2012-13