Centre plans to borrow Rs. 2 lakh cr in second half of FY 18

ANI | Updated: Sep 28, 2017 21:40 IST

New Delhi [India], Sept. 28 (ANI): The Center plans to borrow Rs. 2.08 lakh crore from the market in the second half of the fiscal year 2017-18.

Economic Affairs Secretary Subhash Chandra Garg while addressing the media here said the government may do additional borrowing from the market if required.

"Finance Minister Arun Jaitley reviewed the status of capital expenditure with the CPSEs. During the review it was found that all CPSEs are on track, though there may be a shortfall for 1-2. It gave a clear picture that Rs 3,75,000 crore capex planned budgeted target for CPSEs will be met," Economic Affairs Secretary Subhash Chandra Garg told the media here.

"Another Rs 25,000 crore capex is expected this year," he added.

The Budget has pegged gross borrowing at Rs 5.8 lakh crore and net borrowing at Rs 4.25 lakh crore for the current financial year.

The Centre borrowed Rs 3.72 lakh crore in the first half of FY 18 i.e.- during April-September has pegged gross borrowings at Rs 2.08 lakh crore in the remaining six months.

The net borrowings in second half of the year i.e.- October-March period of the year has been pegged at Rs 1.92 lakh crore.

Garg said the Centre is unlikely to breach the fiscal deficit target during the current fiscal.

"The borrowing calendar was finalised. It was decided that the major chunk of borrowing will be done by January, leaving only a small portion for January-March," Garg said.

"After supplementary are taken care of, in December we will decide if there is need for additional borrowing. There may be a possibility but right now we are on track," he added.

The government also aims to bring down the fiscal deficit to 3.2 percent of the Gross Domestic Product (GDP) in FY18. (ANI)