BUSINESS

Govt to borrow Rs 1.4 lakh crore

Source:PTI
March 26, 2009 15:05 IST
The government on Thursday said it will borrow an additional Rs 1,40,000 crore (Rs 1400 billion) during the first half of next fiscal to fund its increasing public expenditure.

The gross borrowings, which include funds for repayment of maturing bonds would be Rs 2,41,000 crore, Economic Affairs Secretary Ashok Chawla told reporters after a meeting at the Reserve Bank to work out the modalities of the debt raising programme.

The apex bank was represented by its Governor D Subbrao at the meeting. The government, as per the Interim Budget for 2009-10, proposes to borrow an additional Rs 3,00,000 crore (Rs 3 trillion) during the year.

Giving details of the market borrowing programme, he said, Rs 48,000 crore (Rs 480 billion) will be raised every month in the first quarter and Rs 32,000 crore every month during the second quarter.

"The higher amount in the first three months is based on the fact that redemptions are more in the first quarter," Chawla said.

When asked about private placement programme of the government he said, "there is absolutely no need for private placement and therefore it is not on the agenda... it is not required."

The requirement of funds of the government, he added, would be met through the normal borrowing programme.

Source: PTI
© Copyright 2024 PTI. All rights reserved. Republication or redistribution of PTI content, including by framing or similar means, is expressly prohibited without the prior written consent.

NEXT ARTICLE

NewsBusinessMoviesSportsCricketGet AheadDiscussionLabsMyPageVideosCompany Email