India's total external debt has declined 'steadily' from 21.1 per cent of GDP in 2001-02 to 15.8 per cent of GDP in 2005-06, Lok Sabha was informed on Friday.

Loans raised by Indian corporates through external borrowings, export credit and short-term credits were 36.4 per cent of the country's total external debt, Finance Minister P Chidambaram said during the Question Hour.

The share of government debt in total external debt was 33.4 per cent, while non-government debt accounted for the remaining portion in December last year, he said.

The minister said the government was pursuing a 'prudent' external debt management policies by raising funds on concessional terms and from less expensive sources with longer maturities, among other things.