Union Budget 2026: Government's Net Market Borrowing Rises to ₹11.73 Lakh Crore for FY27

• The government projects its net market borrowing at ₹11.73 lakh crore for FY27, representing 3% of GDP.
• Gross borrowings are estimated at ₹17.20 lakh crore, or 4.4% of GDP, for the same fiscal year.
• Net market borrowing for FY27 is higher than the revised estimates of ₹10.7 lakh crore for FY26 and ₹9.0 lakh crore for FY25.
• The increased borrowing is primarily aimed at funding capital expenditure, which is considered growth-enhancing.
• Economists warn of potential bond supply pressures but note that fiscal consolidation efforts may maintain investor confidence.

Why It Matters: Government's net market borrowing for FY27 is set at ₹11.73 lakh crore, prioritizing capital expenditure.