Das, Surajit creator text Economic & Political Weekly monographic eng

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61(14), Apr 4, 2026: p.57-61 The interest payment component on past debt of the government as a proportion of gross domestic product is extremely high in India. This is primarily because of the very high effective interest rate on government borrowings. This can be reduced by changing the composition of the ownership of the government securities in the country. This is important for ensuring larger fiscal space for enhancing public spending on the social sector and capital expenditures. Developmental expenditures may be prioritised over ensuring an assured return of 7% to the domestic capital market in India.-Reproduced https://www.epw.in/journal/2026/14/budget-2026-27/union-budget-2026-27.html Economic & Political Weekly 260430