External Debt
Recently, as per an RBI report, India’s external debt rose to US$ 736.3 billion (March 2025), marking an increase of US$ 67.5 billion over the previous year, excluding valuation effects.
- External debt refers to money borrowed from a source outside the country. External debt has to be paid back in the currency in which it is borrowed.
- It can be obtained from foreign commercial banks, international financial institutions like IMF, World Bank, ADB, etc. and from the government of foreign nations.
- Normally these types of debts are in the form of tied loans, meaning that these have to be ....
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