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    India’s Current Account Deficit Narrows to $12.3 Billion in July–September: RBI

    1 month ago

    Yugcharan Business | December 1, 2025 | Mumbai

    India’s current account deficit (CAD) eased significantly in the July–September quarter, supported by a lower merchandise trade gap, according to data released by the Reserve Bank of India (RBI) on Monday.

    The CAD stood at $12.3 billion, equivalent to 1.3% of GDP, in the second quarter of FY26. This marks a sharp improvement from the revised deficit of $20.8 billion (2.2% of GDP) recorded in the same quarter last year.

    In comparison, the previous quarter (April–June) had reported a much smaller CAD of $2.4 billion, or 0.2% of GDP.

     

    The RBI said the moderation in the deficit was primarily driven by a reduction in the merchandise trade shortfall, even as services exports and remittances continued to support the overall balance of payments.

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