India Balance of Payments & External Debt
Quarterly Data · BOP: Q1 FY 2024‑25 to Q4 FY 2025‑26 (incl. FY24‑25 annual) · External Debt: Mar‑23 to Dec‑25 (12 quarters) · Source: Reserve Bank of India (RBI)
Current Account vs Financial Account
US$ Million · Quarterly · Q1 FY25 – Q4 FY26
Gross External Debt Position
US$ Billion · Quarterly stock · Mar‑23 – Dec‑25
India's external position through FY25‑26 shows a current account that swung between deficit and surplus on a quarterly basis, closing FY24‑25 with a modest deficit of $22,947 Mn before recording a $7,081 Mn surplus in Q4 FY25‑26 — helped by a narrower goods deficit and resilient services exports. The financial account has generally offset the current account gap through FDI and portfolio flows, though Q4 FY25‑26 saw a net financial outflow of $8,437 Mn even as the current account turned positive. Meanwhile, gross external debt has climbed steadily and without interruption across all 12 quarters, rising from $623.9 Bn in Mar‑23 to $765.5 Bn in Dec‑25 — a 22.7% increase — while the short‑term share of debt has stayed range‑bound near 20%, suggesting the debt build‑up has been financed predominantly through longer‑tenor liabilities rather than a rollover‑risk‑heavy short‑term mix.
Goods, Services & Income Components
US$ Million · Quarterly · Q1 FY25 – Q4 FY26
Current Account Balance
US$ Million · Quarterly · Surplus vs deficit
The merchandise trade deficit remains the dominant drag on India's current account, running between $59 Bn and $96 Bn a quarter over the period, while a structurally strong services surplus — averaging roughly $50,000 Mn per quarter and led by software and business services exports — offsets more than half of the goods gap. Secondary income, dominated by inward remittances, has been the most consistent positive contributor, ending the period at $41,266 Mn in Q4 FY25‑26, its highest reading in the dataset. Primary income (investment income and dividend outflows) stayed persistently negative, reflecting India's net external liability position.
Financial Account Components
US$ Million · Quarterly · Q1 FY25 – Q4 FY26
Financial Account — Net Balance
US$ Million · Quarterly · Net inflow vs outflow
FDI into India (Direct Investment in India) has stayed positive throughout the dataset and was the single largest, most stable inflow line, peaking at $13,914 Mn in Q1 FY25‑26. Outbound Indian direct investment has been a consistent net outflow of roughly $6,300–9,700 Mn a quarter. Portfolio flows have been the most volatile line, swinging from a $19,850 Mn inflow in Q2 FY24‑25 to a $12,121 Mn outflow the very next quarter, reflecting FPI sensitivity to global rate and risk‑appetite shifts. The overall financial account turned negative in Q4 FY25‑26 (‑$8,437 Mn) — only the second negative quarter in the series — driven by weak portfolio flows and a reversal in trade credit.
Gross External Debt Position — 12‑Quarter Trend
US$ Billion · Mar‑23 – Dec‑25
Short‑Term vs Long‑Term Debt
US$ Billion · Stacked · Mar‑23 – Dec‑25
India's gross external debt has risen every single quarter in the dataset with no reversal, climbing from $623.9 Bn in Mar‑23 to $765.5 Bn in Dec‑25 — a cumulative increase of $141.6 Bn (22.7%). The Dec‑25 quarter alone added $18.3 Bn, the largest single‑quarter jump in the series. Despite the steady rise in absolute debt, the short‑term share has remained broadly stable in a 19–21% band throughout, meaning the debt build‑up has been driven mainly by longer‑tenor borrowing — a comparatively less risky funding profile from a rollover standpoint.
External Debt by Sector — 12‑Quarter Trend
US$ Billion · Stacked area · Mar‑23 – Dec‑25
Sector Composition — Dec‑25
Share of gross external debt, %
Non‑financial and financial corporates outside the banking system ("Other Sectors") make up the largest and fastest‑growing share of India's external debt, rising from $297.5 Bn in Mar‑23 to $357.3 Bn in Dec‑25 and now accounting for 46.7% of the total — driven mainly by non‑financial corporate borrowing. Deposit‑taking corporations (banks) form the second‑largest block at 26.5% and have grown steadily as well. General Government external debt has grown from $133.3 Bn to $168.7 Bn but its share of the total has drifted down slightly as corporate and bank borrowing has grown faster. Direct investment intercompany lending, while the smallest category at 4.8%, has also grown consistently every quarter, from $29.6 Bn to $36.8 Bn.