Mumbai: India’s current account deficit widened to USD 6.2 billion in June from a surplus of USD 1.2 billion in the year-ago month, according to preliminary data released by the Reserve Bank of India Friday.
The current account deficit was primarily driven by a widening merchandise trade deficit, which rose to USD 30.2 billion in June 2026 from USD 19.2 billion a year earlier.
Merchandise exports increased to USD 41.2 billion in June from USD 35.3 billion in the year-ago month, while imports rose at a faster pace to USD 71.4 billion from USD 54.5 billion.
The data from the Reserve Bank of India (RBI) also showed that the surplus in services increased to USD 17.9 billion in June 2026 from USD 16.2 billion a year earlier.
Services exports rose to USD 36.4 billion from USD 32.1 billion, while imports increased to USD 18.5 billion from USD 15.9 billion.
Net transfers also rose to USD 11.9 billion in June from USD 10.9 billion, while net income deficit narrowed to USD 5.8 billion from USD 6.8 billion.
On the capital account front, net inflows stood at USD 9.1 billion in June 2026, compared with an outflow of USD 1.6 billion in the year-ago month.
Net foreign direct investment stood at USD 1.3 billion in June, while foreign portfolio investment recorded a net inflow of USD 2.5 billion.
The overall balance was positive at USD 2.9 billion in June 2026, against a deficit of USD 0.4 billion in June 2025.
During the April-June quarter, the merchandise trade deficit widened to USD 85.7 billion from USD 68.9 billion, while the services surplus increased to USD 52.2 billion from USD 47.9 billion.
Net transfers rose to USD 41.4 billion during April-June 2026 from USD 30.9 billion in the year-ago period.
The overall balance during the quarter was negative at USD 8.1 billion compared with a positive USD 4.5 billion in April-June 2025, the RBI data showed.
