India’s external debt continued its upward trajectory in the second quarter of 2026, with the total stock of foreign debt reaching USD 778.2 billion, according to the latest data updated on 30 September 2026.
The figure marks an increase from USD 762.8 billion recorded in the first quarter of 2026, underscoring a further build-up in India’s external liabilities over the period. While no breakdown of the debt composition was provided, the quarterly rise suggests ongoing reliance on foreign funding channels amid India’s evolving macroeconomic and financial conditions.
The continued expansion in foreign debt will be closely watched by investors and policymakers, as it has implications for the country’s external vulnerability, borrowing costs, and long‑term debt sustainability, particularly in a global environment marked by fluctuating interest rates and capital flows.
