CENTRAL GOVERNMENT TO REPAY FOREIGN CURRENCY LOAN AHEAD OF SCHEDULE
The Central Government
has decided to repay prematurely two ADB and IBRD loans for $
1254 million and $ 1549 million respectively in the current financial
year, through the forex reserves of the country. This premature
repayment will be financed entirely through domestic market borrowings.
This swapping of fixed rate foreign currency debt with fixed rate
rupee debt will be advantageous to the country.
This is the first
time that the Finance Ministry is repaying an external debt of
this size, ahead of schedule.
