New Delhi In FY 2021-22, the current account deficit widened to 1.2 per cent of GDP. In the previous year, in 2020-21, however, the global deficit was 0.9 per cent higher than the current account deficit.
The trade deficit also narrowed sharply on a quarterly basis. During January-March, it stood at १३ 13.4 billion, or 1.5 per cent of GDP. In the previous December quarter, it was ६ 22.2 billion, or 2.6 per cent of GDP.
The current account deficit is the difference between the import and export of goods and services by a country over a period of time. In the case of India, imports are often higher than exports, which is a permanent deficit.
In the fiscal year 2021-22, the net trade deficit has reached. 189.5 billion. It had stood at २ 102.2 billion in the previous year. Rising fuel prices and the rupee’s depreciation against the dollar have led to fears of a widening trade deficit this year.
Exports of goods worth ६ 618.6 billion were recorded in FY2021-22, according to the Balance of Transactions. In the previous year, it was ८ 398.5 billion, which has widened the trade deficit.