India's Strategic Borrowing Plan for FY26

The Government of India plans to raise Rs 8 lakh crore through dated securities in the first half of FY 2025-26 to manage the fiscal deficit. With gross borrowing pegged at Rs 14.82 lakh crore, the strategy includes Sovereign Green Bonds, various maturity securities, and Treasury Bills to address revenue shortfalls.

The Indian government is set to raise Rs 8 lakh crore via dated securities in the April-September period of FY 2025-26 to bridge the fiscal gap, as announced by the finance ministry on Thursday.

Part of the Rs 14.82 lakh crore total gross market borrowing for the fiscal year, this first half borrowing strategy includes Rs 10,000 crore in Sovereign Green Bonds and will involve diversified security maturities ranging from three to fifty years.

With the fiscal deficit pegged at Rs 15.68 lakh crore, the government relies on dated securities for Rs 11.54 lakh crore, while additional resources are expected from small savings and other channels. Weekly treasury bill issuance is also planned, alongside adaptive measures by the RBI to manage mismatches and ensure financial stability.

(With inputs from agencies.)