Mar 12, 2023, Posted by: Nia Latham

What is current debt of India in the world bank?

India has a long history of borrowing from the World Bank. As of 2019, India's total external debt is estimated to be around US$568.7 billion. This number includes both public and publicly guaranteed debt, as well as private non-guaranteed debt. The World Bank is one of India's largest lenders, and its loans make up a significant part of India's external debt.

The World Bank provides loans to India for various development projects, such as infrastructure, energy, health and education. These loans are provided at concessional rates, with a repayment period of up to 25 years, and are usually further supported by grants. As of 2018, India has received more than $22 billion in loans from the World Bank.

India is one of the largest borrowers from the World Bank, and its debt has been growing steadily over the years. The debt is mainly used for infrastructure and other development projects, and is seen as a way for India to finance its growth. India has also made significant efforts to reduce its debt burden by repaying loans and by engaging in debt-swap arrangements with the World Bank.

In conclusion, India's debt to the World Bank is significant, but manageable. India has been taking steps to reduce its debt, and the World Bank has been supportive in providing loans for development projects. As India's economy continues to grow, its debt burden is expected to reduce further, allowing India to finance its development and achieve its long-term goals.


India is one of the fastest-growing economies in the world, but its growth has come at a price. In recent years, India has taken on a growing amount of debt, both domestically and in the international arena. Here, we take a look at India’s current debt in the World Bank and what it means for the country’s future.

India’s Current Debt in the World Bank

As of June 2020, India’s total debt to the World Bank stands at $53.3 billion. This is a substantial increase from the $43.3 billion recorded in December 2019. India has become one of the largest borrowers from the World Bank, accounting for more than 10 percent of the total debt owed by all borrowing countries. India’s debt has been increasing steadily since 2015, when it stood at just $38.4 billion.

Implications of India’s Debt

India’s increasing debt to the World Bank could have some serious implications for the country’s economy. For one, it could lead to higher interest rates, which could make it more difficult for businesses and individuals to obtain loans. Higher interest rates could also lead to slower economic growth, as businesses and individuals would be less likely to invest or spend money if borrowing costs are too high. Moreover, India’s increasing debt could also lead to a decrease in the availability of foreign aid and investment, as the World Bank is likely to become more cautious about lending money to a country that already owes it a large amount.


India’s debt to the World Bank is a growing concern, and it is important to understand the implications of this debt. While India’s growing economy has been a boon for the country, its increasing debt could have a negative effect on its long-term economic prospects. If India is unable to manage its debt and keep borrowing costs low, it could face serious economic challenges in the future.

India has one of the highest levels of debt in the world, with the World Bank estimating that India had a total debt of $5.41 trillion in 2017. India’s debt is increasing at an alarming rate, and it is important to understand the implications that this has on the economic health of the nation.

The World Bank has identified the primary sources of India’s debt as the central government, state governments, and commercial banks. The central government is responsible for the majority of India’s debt, which stands at around $2.7 trillion. This debt is primarily made up of external borrowing, which is taken from other countries, and domestic borrowing, which comes from Indian banks and financial institutions.

The state governments are responsible for around $1.3 trillion of India’s debt, and this is primarily used to finance public sector projects. Commercial banks are responsible for the remaining $1.4 trillion of India’s debt, and this is used to finance businesses, companies, and individuals.

It is important to understand the implications of India’s current debt levels on the nation’s economic health. High levels of debt can cause a country to become over-indebted, which can lead to a decrease in economic growth and an increase in inflation. Additionally, high levels of debt can make it more difficult for the nation to borrow money in the future and can increase the cost of borrowing.

It is also important to note that India’s debt levels are not only high in comparison to the rest of the world, but they are also increasing at an alarming rate. This means that the government must take measures to reduce India’s debt levels in order to ensure that the nation’s economic health is maintained.

India has been a major partner of the World Bank since its establishment in 1945. Over the years, India has received a number of loans, grants, and other assistance from the World Bank, which has helped to improve the country’s infrastructure, public services, and economic development. But with these loans and assistance, India has also accumulated a significant amount of debt.

According to the World Bank’s most recent figures, the current debt of India stands at $123 billion. This debt is split between long-term loans and short-term loans. The long-term debt comprises of loans from the International Development Association (IDA), the International Bank for Reconstruction and Development (IBRD), and the International Finance Corporation (IFC). The short-term debt is mainly made up of loans from the International Monetary Fund (IMF).

To put India’s debt in context, it is the fourth largest borrower from the World Bank. It is also the second-largest borrower from the IDA and the IBRD. It is the fifth-largest borrower from the IFC, and the seventh-largest borrower from the IMF.

India’s current debt is significant, but it is also manageable. The World Bank’s most recent figures show that India’s debt-to-GDP ratio stands at around 68%. This is relatively low compared to other countries in the region, such as Pakistan (97%) and Sri Lanka (93%).

In addition, India has been able to pay back its loans in a timely manner. According to the World Bank’s figures, India has a repayment rate of 97%. This is higher than the global average of 85%.

Overall, India’s relationship with the World Bank is a positive one. The World Bank has been able to provide India with much-needed assistance and support, while India has been able to repay its loans in a timely manner. This relationship has helped to advance India’s progress and development over the years, and will continue to do so in the future.

Comparing India's Debt to Other Countries in the World Bank

India is one of the world's biggest economies, and its debt is a major factor in the global economic landscape. But how does India's debt compare to other countries in the World Bank?

According to the World Bank, India's external debt as of March 2019 was $534.2 billion, the fourth-highest in the world. This debt is composed of both public and private debt, and includes both long-term and short-term debt. India's debt is higher than that of Germany, the United Kingdom, France, and Italy, but lower than that of the United States, Japan, China, and Brazil.

India's external debt is also higher than that of several of its neighbors, including Pakistan ($37.4 billion), Bangladesh ($37.0 billion), and Nepal ($4.2 billion). India's external debt is also higher than that of several other countries in South Asia, including Sri Lanka ($67.8 billion), Afghanistan ($5.9 billion), and Bhutan ($1.3 billion).

India's external debt is significantly lower than that of other countries in the world. The United States has the highest external debt, at $6.48 trillion, followed by Japan ($5.64 trillion), China ($3.39 trillion), and Brazil ($2.09 trillion).

Although India's external debt is high compared to other countries in the World Bank, it is not as high as some might expect. India has a strong economy and is continuing to grow, which means that its debt is likely to remain manageable in the near future.


Nia Latham

Nia Latham

I'm a news enthusiast and journalist who loves to stay up to date with the latest events. I'm passionate about uncovering the truth and bringing awareness to important issues. I'm always on the lookout for a great story to share with the world.

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