New Delhi : Congress MP Randeep Singh Surjewala on Wednesday flagged the rise in the Union Government's debt as compared to 2014, stating that the Centre added more than Rs 127 lakh crore of debt in a decade. In an answer to Randeep Surjewala's question in Rajya Sabha, the MoS Finance, Pankaj Chaudhary, stated that the Centre's debt in 2024-25 stood at Rs 185.95 lakh crore.
According to the Finance Ministry, the Centre's internal and external debt rose from Rs 115.71 lakh crore and Rs 6.15 lakh crore in 2020-21 to 177.21 lakh crore and Rs 8.74 lakh crore in 2024-25. Taking a jibe at the Centre, the Congress MP termed the "explosion" of debt as "Karznirbhar Bharat."
In an X post, he wrote, "From Rs 58.6 lakh crore in 2014 to Rs 185.95 lakh crore in 2024-25, a decade of slogans, a mountain of debt. My question in the Parliament exposes the reality of the double engine due with service bills. March 31, 2014 Central Government debt: Rs 58.6 lakh crore 2024-25 (latest) Central Government debt: Rs 185.95 lakh crore, Rs 127 lakh crore + added in one decade. Debt hasn't grown, it has 'exploded'. Break-up tells an even uglier story. Atmanirbhar Bharat or Karznirbhar Bharat? And when the numbers corner them, out comes the excuse."
While the Debt-to-GDP ratio improved to 56.2 in 2024-25 from 61.4 in 2020-21, Surjewala alleged that the Centre has changed the formula used to calculate the ratios. He wrote, "'But debt-to-GDP ratio is fine!' Of course it is. GDP collapsed during COVID and later rebounded, ratios formula changed. That's math, not mastery. If adding Rs 127 lakh crore debt is 'good economics', then every bankrupt corporate is a masterstroke. Slogans fade. Numbers don't. BJP Sarkar hai toh... udhaar hai."
Meanwhile, the Debt Profile of the Union Government as per the Economic Survey said that the government aims to reduce its Debt to GDP ratio further, close to 50. Marketable securities, including dated securities and treasury bills, form 65 per cent of government liabilities.
This debt composition, as per the Economic Survey, has enabled effective transmission of domestic macro-financial conditions to government borrowing costs, which have benefited from favourable domestic conditions, including easing inflation, strong growth, and supportive liquidity.