India's foreign debt has witnessed a slight increase, according to the latest data update as of September 30, 2025. The country's foreign debt has risen from USD 736.3 billion in the first quarter to USD 747.2 billion by the end of the second quarter of 2025.
This increase indicates that India continues to engage in international financial activities, necessitating foreign borrowings amidst growing economic activities. Many factors contribute to these changes, including the country’s ongoing development projects and international trade commitments. It’s essential for stakeholders and investors to closely monitor these trends, as they could potentially impact economic policies and international trade relations.
While the data reflects a growing foreign debt scenario, the Indian government faces the challenge of managing its debt while maintaining economic stability and growth. Observers will keenly watch for policy adjustments that the Indian financial authorities might implement in response to this uptick in foreign debt as the country moves forward into the latter half of the year.
