India Macro Data
The following are some of the important data points relating to Indian economy.
1) G-Sec Outstanding: Rupee outstanding loans of Government of India (GOI) as on 20Sep2021 are Rs 77.02 lakh crores (excluding special securities). This figure is also known as G-Sec (Government Securities) outstanding. The data source is Reserve Bank of India.
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The data from 1999 to 2021: As can be gleaned from table 1 below, the outstanding G-Sec amount has increased by 120 per cent during the Modi Government regime (from Rs 35.14 lakh crore in March 2014 to Rs 71.68 lakh crore in March 2021). During the Manmohan Singh Government (2004 to 2014), the outstanding G-Sec surged by 280 per cent.
The G-Sec amount does not include other public debt and external debt.
Table 1:
2) Ownership pattern of Govt of India Date Securities: The biggest holders of G-Secs are commercial banks. They hold 37.8 per cent of total outstanding, which is Rs 71.68 lakh crore as on 31Mar2021. The second and third biggest holders are insurance companies (25.3 per cent) and Reserve Bank of India (16.2 per cent). The next in line are provident funds (4.44 per cent), mutual funds (2.94 per cent) and FPIs (foreign portfolio investors 1.87 per cent).
Table 2:
3) Ownership Pattern Over the Years: As per the latest data, as at the end of June 2021, available from Reserve Bank of India (RBI) and Govt of India, the biggest holders of Govt of India Dated Securities are commercial banks (36.0 per cent), insurance companies (25.8 per cent) and Reserve Bank of India (17.1 per cent). The outstanding amount is Rs 78,82,533 crore (end-Jun2021).
In the past five years, the share of commercial banks has decreased to 36 per cent (Jun2021) from 39.9 per cent (Jun2016); the share of insurance firms rose to 25.8 per cent from 22.6 per cent; and the share of RBI rose to 17.1 per cent from 14.9 per cent five years ago.
In the past three years, the RBI has been buying government securities (G-Secs) aggressively which is reflected in its increased ownership pattern. It may be noted this period is coincided with the current RBI governor Shaktikanta Das.
Table 3:
4) Yield and Maturity of Govt of India Dated Securities: Despite persistently high inflation above six per cent for most of the past 20 months, RBI has been able to borrow government securities from the market at or below six per cent yield (see table 4 below). RBI in the past two years, has been resorting to heavy buying of government securities through its Open Market Operations (OMO), which has kept the India 10-year G-Sec yield well below six per cent.
It may be noted RBI is the money manager for Gov't of India in the sense that RBI borrows money from the market on behalf of Gov't of India.
Table 4:
Weblinks:
RBI public debt statistics
RBI Time Series on public debt
Govt of India public debt management - quarterly reports
RBI 15Sep2021 Handbook of Statistics on Indian Economy - RBI DBIE (click on 'Handbook of Statistics on Indian Economy' section)page
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Disclosure: I've vested interested in Indian stocks and other investments. It's safe to assume I've interest in the financial products discussed, if any.
Disclaimer: The analysis and opinion provided here are only for information purposes and should not be construed as investment advice. Investors should consult their own financial advisers before making any investments. The author is a CFA Charterholder with a vested interest in financial markets.
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