India's external debt rose to $778.2 billion at end-June, 20.8% of GDP
Serguey Asael Shinder1 min readIndia's external debt stood at $778.2 billion at the end of June 2026, up $15.4 billion from the end of March, the Reserve Bank of India said on 30 September. As a share of GDP it eased slightly to 20.8% from 20.9%. A stronger US dollar against the yen and the euro produced a valuation gain of $0.9 billion; without it, debt would have risen by $16.4 billion.
Long-term debt, with an original maturity above one year, rose $11.2 billion to $624.7 billion. The share of short-term debt by original maturity edged up to 19.7% of the total from 19.6%, and its ratio to foreign exchange reserves rose to 23.0% from 21.6%. On a residual-maturity basis, which adds long-term debt falling due within a year, short-term obligations made up 43.4% of external debt and 50.5% of reserves, against 47.3% at the end of March.
By currency, US dollar debt remained the largest part at 54.8%, followed by rupee-denominated debt at 29.8%, yen at 6.9%, SDR at 4.1% and euro at 3.5%. Non-financial corporations held the largest share of outstanding debt at 36.1%, ahead of deposit-taking corporations at 26.2%, general government at 22.4% and other financial corporations at 10.2%. Loans were the largest instrument at 34.3%, followed by currency and deposits, trade credit and debt securities. Debt service was 5.6% of current receipts.
Why it matters
India's overall debt ratio is low, but the residual-maturity figure is the one to watch in a year of high global yields: half of the reserves would be needed to cover everything falling due within twelve months, up more than three points in a quarter. With most of the debt in dollars, a stronger dollar raises that burden even as it trims the headline stock.