Industry Odisha Bureau, Jun 9: The data released yesterday by the Reserve Bank of India (RBI) reported that country posted a current account surplus (CAS) of 0.7% of the gross domestic product (GDP) in the March quarter of fiscal year (FY) 2025-26.
As per media reports, “The current account deficit (CAD) increased in absolute terms to $25.2 billion from $22.9 billion a year earlier, but remained steady at 0.6% of GDP, while the March-quarter (Q4FY26) current account surplus (CAS) marked a reversal from the $13.2 billion deficit recorded in the preceding quarter, although it was lower than the year-ago surplus of $13.7 billion”.
Notably, “The current account tracks the flow of goods, services and investment income between India and the rest of the world, while a surplus in the current account indicates that inflows exceeded outflows during the period, signaling improved external stability.”
The RBI data reportedly stated, “Driven by growth in exports of computer services and other business services, receipts rose to $60.4 billion in the March quarter from $53.3 billion a year earlier. Personal transfer receipts—primarily comprising remittances from Indians working overseas—also increased to $43.5 billion from $33.9 billion a year ago.”
So far, the financial account is concerned, “net foreign direct investment (FDI) inflows increased to $4.2 billion in Q4FY26 from $0.4 billion a year earlier”, as per the reported RBI data.
However, “foreign portfolio investors (FPIs) pulled out a net $12 billion during the quarter compared with net outflows of $5.9 billion in the year-ago period”, media reports added.
