Government to borrow Rs 6.55 lakh crore in second half of 2023-24: Finance ministry
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The finance ministry has said the government will borrow Rs 6.55 lakh crore in the second half of 2023-24 through dated securities, including Rs 20,000 crore through issuance of Sovereign Green Bonds (SGrBs). The government meets its fiscal deficit mainly through market borrowings. The government had projected gross market borrowing of Rs 15.43 lakh crore for 2023-24. The Government of India Reservehas decided to borrow the balance amount of Rs 6.55 lakh crore (42.45 per cent of Rs 15.43 lakh crore) in the second half of the fiscal year 2023-24.
It added ‘Responding to market demand for longer duration securities, 50-year security will be issued for the first time.’ The gross market borrowing of Rs 6.55 lakh crore will be completed through 20 weekly auctions. The market borrowing will be spread over 3, 5, 7, 10, 14, 30, 40 and 50-year securities.
Besides, it said weekly borrowing through the issuance of Treasury Bills in the third quarter of the fiscal is expected to be Rs 24,000 crore with net borrowing of Rs (-)52,000 crore during the quarter. It mentioned said that the Reserve Bank of India has fixed the Ways and Mean Advances (WMA) limit for the October-March period of 2023-24 at Rs 50,000 crore to take care of temporary mismatches in Government accounts.
