Mumbai, Dec 27 (PTI) India's current account deficit (CAD) moderated marginally to USD 11.2 billion or 1.2 per cent of GDP year-on-year in the July-September quarter of 2024-25, according to Reserve Bank data released on Friday.
The CAD, an indicator of the country's external payment scenario, was USD 11.3 billion or 1.3 per cent of GDP during the second quarter of 2023-24.
"India's current account deficit (CAD) moderated marginally to USD 11.2 billion (1.2 per cent of GDP) in Q2 2024-25 from USD 11.3 billion (1.3 per cent of GDP) in Q2:2023-24," the RBI said.
During April-September 2024 (H1 2024-25), the current account deficit was USD 21.4 billion or 1.2 per cent of GDP compared to USD 20.2 billion (1.2 per cent of GDP) in the year-ago period.
Merchandise trade deficit increased to USD 75.3 billion in the second quarter of 2024-25 from USD 64.5 billion in the comparable period of 2023-24, as per the RBI's data on Balance of Payments.
Net services receipts increased to USD 44.5 billion in Q2 2024-25 from USD 39.9 billion a year ago.
Services exports have risen, on a year-on-year basis, across major categories like computer services, business services, travel services and transportation services.
Further, private transfer receipts, mainly representing remittances by Indians employed overseas, rose to USD 31.9 billion in the July-September quarter in 2024-25 from USD 28.1 billion in the second quarter of 2023-24, the data showed.
In the financial account, the RBI said net foreign direct investment recorded an outflow of USD 2.2 billion in Q2 2024-25 compared to USD 0.8 billion outflow in the corresponding period of 2023-24.
Net inflows under foreign portfolio investment increased to USD 19.9 billion in Q2 2024-25 from USD 4.9 billion a year ago.
During April-September 2024, the RBI data showed that net invisibles receipts at USD 119.0 billion were higher in H1 2024-25 against USD 101 billion a year ago, primarily on account of higher net services receipts.
Also, net FDI inflows at USD 4.4 billion in H1:2024-25 was higher than USD 3.9 billion in H1:2023-24.
FPI recorded net inflows of USD 20.8 billion in H1:2024-25 compared to net inflows of USD 20.7 billion a year ago.
In H1 2024-25, there was an accretion of USD 23.8 billion to the foreign exchange reserves (on a BoP basis), the RBI said.
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