Insta
India’s Current Account Deficit Rises To 1.4 Per Cent Of GDP In December Quarter
Swarajya Staff
Mar 24, 2017, 05:07 PM | Updated 05:07 PM IST
Save & read from anywhere!
Bookmark stories for easy access on any device or the Swarajya app.
As India’s trade deficit widened, the country’s current account deficit (CAD) rose to 1.4 per cent of gross domestic product (GDP) in the December quarter. CAD stood at 0.6% of GDP in the September quarter.
According to Livemint, a marginal decline in remittances by overseas Indians contributed to the rise in CAD. However, India’s CAD came down from 4.8 per cent of GDP ($ 88.2 billion) in 2012-13 to 1.1 per cent of GDP ($ 22.2 billion) in 2015-16.
Credit rating agency ICRA in its report noted that it expects higher oil and gold imports to enlarge India's current account deficit to ~USD 30 billion (1.2 percent of GDP) in FY2018 from ~USD 20 billion in FY2017 (0.9 percent of GDP), arresting the trend of moderation recorded for four consecutive years since FY2014. However, the pressure related to the financing of a larger current account deficit would abate with the resumption of NRI deposits in FY2018.
With inputs from ANI
Save & read from anywhere!
Bookmark stories for easy access on any device or the Swarajya app.
Support Swarajya's 50 Ground Reports Project & Sponsor A Story
Every general election Swarajya does a 50 ground reports project.
Aimed only at serious readers and those who appreciate the nuances of political undercurrents, the project provides a sense of India's electoral landscape. As you know, these reports are produced after considerable investment of travel, time and effort on the ground.
This time too we've kicked off the project in style and have covered over 30 constituencies already. If you're someone who appreciates such work and have enjoyed our coverage please consider sponsoring a ground report for just Rs 2999 to Rs 19,999 - it goes a long way in helping us produce more quality reportage.
You can also back this project by becoming a subscriber for as little as Rs 999 - so do click on this links and choose a plan that suits you and back us.
Click below to contribute.