Government Borrowing

Bond yields steady as government surprises with lower-than-expected H1 borrowing

The benchmark 10-year bond yield was trading at 6.9451%; the rupee gains 1.3%

Understand the math behind government's FY27 borrowing numbers

The Centre has pegged net market borrowing at Rs 11.7 lakh crore for FY27, around Rs 50,000 crore higher than FY26, reflecting a calibrated increase to support higher capital spending. Gross market borrowing, however, has been set at Rs 17.2 lakh crore, a sharp jump from the current year. This increase is largely explained by the maturity profile of government securities, with redemptions in FY27 estimated at Rs 5.47 lakh crore.

Budget 2026| Centre peg gross borrowing via bonds at Rs 17.2 lakh crore for FY27

Government borrowings are among the most important determinants of interest rates in the economy. Higher-than-expected borrowings can push up rates for all bond issuers — sovereign and corporate — while interest rates can decline if it tightens its belt and borrows less than anticipated.

FY27 govt borrowing pegged at Rs 15-17 lakh crore as debt focus gains prominence

Estimates for green bond issuance, which is unlikely to see an increase, range from Rs 20,000-25,000 crore, or around 5 percent of total borrowing, a Monyecontrol poll has found

A fix for fixed income lies with the government or RBI?

A tight fiscal policy and an accommodative monetary policy is the best outcome for bonds

Bond Strategy Reset: Ditch ultra-long issuance

The spreads beyond 10-year bond yield have widened and the curve has steepened

Higher gross market borrowing may lead to increase G-sec yield

In union Budget 2025, gross market borrowing numbers announced by the government was around 6 percent higher for next financial year, as compared to current fiscal year.

Higher redemptions of bonds in FY26 leads to around 6% rise in gross government borrowing

In the first half of current financial year, the Centre has borrowed nearly Rs 7 lakh crore and plans to borrow Rs 6.61 lakh crore in the second half.

Budget 2025: Government may announce Rs 14-15 lakh crore market borrowings via bonds

In July, 2024, Finance Minister Nirmala Sitharaman announced the gross borrowing target from the markets in 2024-25 of Rs 14.01 lakh crore to finance its fiscal deficit of 4.9 percent of the GDP.

India’s short-term borrowing costs dip to lowest since 2022

The yield on the 364-day treasury bill dipped to 6.7240% in an auction on Wednesday, the least since September 2022. The yield on other very short-dated papers also dipped.

In 8 charts: Govt's interest cost share in GDP beats capex outlay share in FY24; what's driving this surge?

The share of interest payments to GDP was 3.6 percent, while the share of the capex outlay was 3.2 percent in FY24, according to a Crisil report, on rising interest expenses.

Indian bond yields may soften post marginal cut in gross govt borrowing, fiscal deficit

Finance Minister Nirmala Sitharaman in a speech presenting the full Budget for 2024-25, said the Centre marginally cut the gross borrowing target from the markets in 2024-25 to Rs 14.01 lakh crore to finance its fiscal deficit of 4.9 percent of the GDP.

Govt unlikely to change borrowing numbers in upcoming Budget despite record RBI dividend: Experts

In the interim budget on February 1, the central government said it would borrow Rs 14.13 lakh crore from the markets in 2024-25 in gross terms to finance its fiscal deficit of 5.1 percent of the GDP.

Centre to borrow Rs 7.5 lakh crore via dated securities in H1FY25

In April-September, the size of the weekly government bond auctions will range from Rs 22,000 crore to Rs 38,000 crore.

Interim Budget brings cheer to bond markets

The RBI will leverage on the fiscal restraint shown by the central government and is likely to deliver rate cuts in the second half of FY25

Interim Budget 2024: Market borrowing likely to remain in the Rs 15-16 lakh crore range, say experts

The interim Budget for the fiscal year 2024-25 will be presented by Finance Minister Nirmala Sitharaman on February 1

Budget 2024 | Government likely to announce gross market borrowing of Rs 15-16 lakh crore for FY25

The interim Budget for the fiscal year 2024-25 will be presented by Finance Minister Nirmala Sitharaman on February 1.