Govt mops up `5.77 lakh cr via dated securities till Jul 31
For financing fiscal deficit, govt planned to raise net debt resources of Rs17.99 lakh cr from various sources in FY24, says FM
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New Delhi The government has mobilised a gross amount of Rs5.77 lakh crore by issuing dated securities in the current financial year up to July 31, 2023, Finance Minister Nirmala Sitharaman said on Tuesday.
It has raised a net amount of Rs4.18 lakh crore through the instrument in the same period. Government borrowing is done through various sources, including dated securities, treasury bills, external loans and state provident funds. The central government has planned to raise net debt resources of Rs17.99 lakh crore from various sources in 2023-24, mainly to finance its fiscal deficit, the finance minister said in a written reply to the Rajya Sabha.
“This amount is about 40 per cent of the total net size of the Union Budget 2023-24 of Rs45.03 lakh crore,” she said. The government plans a gross market borrowing of Rs15.4 lakh crore from dated securities in FY24. This is higher than the total borrowing of Rs14.21 lakh crore in FY23. She said that borrowing by entities like the National Highway Authority of India is on the strength of their own balance sheet. Replying to another question, Sitharaman said banks and financial institutions are required to submit the list of willful defaulters of Rs25 lakh and above to credit information companies (CICs), and CICs have also been advised to disseminate the information pertaining to suit filed accounts of willful defaulters on their respective websites as per the RBI guidelines.
Accordingly, she said, lists of suit-filed willful defaulters of Rs25 lakh and above are available in the public domain on the websites of Credit Information Companies (CICs). Further, as per the RBI’s instructions, willful defaulters are not sanctioned any additional facilities by banks or financial institutions, and their unit is debarred from institutional finance for floating new ventures for five years. Willful defaulters and companies with willful defaulters as promoters/directors have been debarred from accessing capital markets to raise funds, she said, adding the Insolvency and Bankruptcy Code 2016 has debarred willful defaulters from participating in the insolvency resolution process.
