India Aims At Debt-To-GDP Target Of 50% By 2031 From 56.1% In 2025-26: FM Sitharaman

(MENAFN- KNN India) New Delhi, Aug 19 (KNN) In a written reply in the Lok Sabha on Monday, Finance Minister Nirmala Sitharaman stated that the government has brought down the country's debt burden from 61.4 percent of GDP in 2020-21 to 56.1 percent in the 2025-26 budget estimates.

The outstanding debt at the end of FY 2024-25 is provisionally pegged at Rs 185.94 lakh crore, she added.

The Centre aims to maintain a fiscal deficit trajectory that ensures a declining debt-to-GDP ratio, targeting around 50 percent by March 31, 2031.

On trade performance, the finance minister noted that India's overall exports reached an all-time high of USD 824.96 billion in 2024-25, despite a slowdown in global trade.

Exports continued to grow in the current financial year, registering a 5.46 percent increase in the first quarter.

She further stated that India's foreign exchange reserves are sufficient to cover more than 11 months of goods imports, underscoring the resilience of the economy.

Sitharaman said the government has adopted measures to shield vulnerable groups from economic volatility while sustaining inclusive growth.

Flagship schemes such as the Pradhan Mantri Garib Kalyan Anna Yojana, PM-Kisan, MGNREGS, PMAY, and the Deen Dayal Upadhyaya Grameen Kaushalya Yojana are being implemented to secure food, housing, livelihoods, and skills for weaker sections.

Additional efforts in skilling, entrepreneurship, and social security are aimed at broadening these protections.

(KNN Bureau)

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