The gross market borrowing through issue of dated securities in 2014-15 has been pegged at Rs 5.97 lakh crore, Rs 34,000 crore higher than 2013-14 fiscal ending March 31. However, net the borrowing - which excludes redemptions of government securities - will be Rs 4.57 lakh crore, which is around 3 per cent lower than the current fiscal.

"This (market borrowing plan) is in line with fiscal correction by the government. We are confident that the borrowing programme will be conducted smoothly," Department of Economic Affairs Secretary Arvind Mayaram told reporters. "We have assessed demand from banks, which is robust. This year borrowing programme was conducted smoothly. Fiscal deficit target will be met," he said.

Meanwhile, India's external debt as at December 31, 2013 stood at $426 billion, recording an increase of $21.1 Billion over the period ending March 31, 2013.

"The rise in external debt during the period was due to long-term debt particularly NRI deposits. A sharp increase in NRI deposits reflected the impact of fresh FCNR(B) deposits mobilised under the swap scheme during September-November 2013," a government release has stated.

GoodReturns.in with inputs from PTI