India’s Current Account Surplus Rises to USD 19.8 Billion in June Quarter

The country’s current account surplus rose to USD 19.8 billion or 3.9 per cent of GDP in the June quarter as merchandise imports declined amid the COVID-19 pandemic, the Reserve Bank said on Wednesday. The current account surplus stood at USD 0.6 billion or 0.1 per cent of GDP in the March quarter while there was a current account deficit of USD 15 billion or 2.1 per cent of GDP in the year-ago period.

“The surplus in the current account in Q1 of 2020-21 was on account of a sharp contraction in the trade deficit to USD 10.0 billion due to steeper decline in merchandise imports relative to exports on a year-on-year basis,” Reserve Bank of India said.

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