India current account deficit narrows to $5.2 billion in August
In short
India’s current account deficit fell to $5.2 billion in August, the RBI said on Thursday.
The improvement came with a lower merchandise trade gap of $26.6 billion, as exports were $44.7 billion and imports were $71.3 billion. The report says services trade also helped, but it does not give the full services figure.
What the reporting says
India’s current account deficit narrowed to $5.2 billion in August, according to preliminary RBI data released on Thursday. The same data showed a smaller merchandise trade deficit of $26.6 billion, with exports at $44.7 billion and imports at $71.3 billion, while services trade surplus improved; the reporting says these factors helped the deficit narrow. The exact services surplus figure is not included in the available snippet.
Why it matters
RBI preliminary data show India’s current account deficit narrowed to $5.2 billion in August from $6.1 billion a year earlier. The same release points to a lower merchandise trade deficit, with exports at $44.7 billion and imports at $71.3 billion, and says higher services trade surpluses helped as well. The available snippet does not provide the full services surplus number or any policy response.