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Centre to Borrow Rs 7.86 Lakh Crore in October-March
The Indian government plans to borrow money by selling bonds during the second half of FY 2026-27.
It expects to raise Rs 7.86 lakh crore between October and March.
The total planned borrowing for the year is lower than the amount announced in the Budget.
Officials said this reduction reflects careful debt management.
Some of the borrowing will come from green bonds for a total of Rs 15,000 crore.
The bonds will have repayment periods ranging from three to 50 years.
The government will hold 23 weekly auctions to sell them.
The RBI will help manage the borrowing and temporary cash shortages.
Officials said the plan is intended to limit pressure on financial markets and reduce refinancing risks.
The Union government plans to borrow Rs 7.86 lakh crore through securities in the second half of FY 2026-27.
Expected full-year market borrowing is Rs 15,99,506 crore, Rs 1,20,494 crore below the budget estimate.
The second-half borrowing includes Rs 15,000 crore through Sovereign Green Bonds and will occur through 23 weekly auctions.
Borrowing will cover maturities from three to 50 years, with 10-year securities receiving the largest share at 26.3 per cent.
The government and RBI will use switches, buybacks and other measures to manage debt and smooth redemptions.
- Who
- The Government of India, in consultation with the Reserve Bank of India, will conduct the borrowing.
- What
- The government will raise Rs 7.86 lakh crore in the second half of FY 2026-27 and reduce planned full-year market borrowing by Rs 1,20,494 crore.
- Where
- The borrowing will take place through Indian securities markets and weekly auctions.
- When
- The borrowing covers the second half of FY 2026-27, from October through March; the announcement was reported on September 25.
- Why
- The funds will finance the fiscal deficit, while debt-management measures are intended to manage maturities, reduce rollover risk and limit additional market pressure.
Key facts
- Second-half borrowing
- Rs 7.86 lakh crore
- Expected FY27 market borrowing
- Rs 15,99,506 crore
- Budget estimate
- Rs 17,20,000 crore
- Sovereign Green Bonds
- Rs 15,000 crore included in second-half borrowing
- Auction schedule
- 23 weekly auctions
- Fiscal deficit projection
- Rs 16.9 lakh crore, or 4.3 per cent of GDP
- Ways and Means Advances limit
- Rs 50,000 crore for the second half
Quotes
Finance Ministry
India's Finance Ministry, which issued the borrowing statement
“The Government of India, in consultation with the Reserve Bank of India (RBI), has decided to borrow Rs 7,86,000 crore in the second half (H2) of FY 2026-27. This includes Sovereign Green Bonds (SGrBs) issuance of Rs 15,000 crore.”
theprint.in
“During 2026-27, the Government of India is expected to have market borrowing of Rs 15,99,506 crore through dated securities, as compared to Budget Estimates of Rs 17,20,000 crore for the ongoing financial year.”
theprint.in
Sources
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