Government Bank Borrowing Reaches Record High, Soars to Rs3.214 Trillion in 6MFY24

In a significant fiscal development, the government's borrowings from banks have reached an unprecedented peak, totaling Rs3.214 trillion in the initial six months of the current fiscal year (FY24). This starkly contrasts with the Rs1.019 trillion recorded during the same period in the previous fiscal year.

It is noteworthy that the government's borrowing through this avenue had amounted to Rs3.639 trillion in FY23. What raises concerns is that, within the first half of the current fiscal year alone, it has exceeded the Rs3 trillion milestone.

Furthermore, data reveals that in FY22, borrowing through banks had been reported at approximately Rs3.324 trillion.