Govt plans to borrow Rs 2 lakh cr in second half of 2017-18

28 September, New Delhi

 

Government plans to borrow 2(point)08 lakh crore rupees from the market in the second half of 2017-18 reiterating its commitment to meet the fiscal deficit target of 3(point)2 per cent of GDP.

To finance the fiscal deficit for the current financial year, the Budget has pegged gross borrowing at 5.8 lakh crore rupees.

Talking to reporters in New Delhi Thursday after a meeting to decide the borrowing calender, Economic Affairs Secretary S C Garg said the government has already borrowed 3.72 lakh crore rupees in the first half and pegged gross borrowings at 2.08 lakh crore rupees in the remaining six months of the current fiscal.

The Finance Minister assured that the government will make available adequate resources but no slackness under any circumstances will be acceptable.

On the occasion, Finance Secretary Ashok Lavasa advised the CPSEs to release outstanding payments expeditiously to help improve the liquidity in the market.

Amid talks of stimulus package to boost sagging economic
growth, Mr. Garg said the Finance Ministry will stick to the deficit targets set in the Budget.

He further said that the assessment of additional borrowing requirement, if any, will be made in December.

The DEA Secretary also informed that Central Public Sector Enterprises (CPSEs) capital expenditure of more than 3.75 lakh crore rupees ismoving as per the plan. He also said that public sector bodies like NHAI will be making an additional spending of 25 thousand crore rupees.

Earlier, Finance Minister Arun Jaitley reviewed capital expenditure programme and status of dividend distribution of CPSUs and authorities with the Secretaries of concerned Ministries, Departments and CMDs.

He stressed that the CPSEs may not only complete their budgeted capital expenditure but should also look to aggressively push capital expenditure in the interest of boosting investment.

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