CAD moderates marginally to 1.2% of GDP in Q2: RBI data

India's current account deficit (CAD) decreased to $11.2 billion or 1.2% of GDP in Q2 2024-25.

India's current account deficit (CAD) moderated marginally to $11.2 billion or 1.2% of GDP year-on-year in the July-September quarter of 2024-25, according to Reserve Bank data released on Friday, December 27, 2024.

The CAD, an indicator of the country's external payment scenario, was $11.3 billion or 1.3% of GDP during the second quarter of 2023-24.

"India’s current account deficit (CAD) moderated marginally to USD 11.2 billion (1.2 per cent of GDP) in Q2 2024-25 from USD 11.3 billion (1.3 per cent of GDP) in Q2:2023-24," the RBI said.

During April-September 2024 (H1 2024-25), the current account deficit was $21.4 billion or 1.2% of GDP compared to $20.2 billion (1.2% of GDP) in the year-ago period.

Merchandise trade deficit increased to $75.3 billion in the second quarter of 2024-25 from $64.5 billion in the comparable period of 2023-24, as per the RBI's data on Balance of Payments.

Net services receipts increased to $44.5 billion in Q2 2024-25 from $39.9 billion a year ago.

Services exports have risen, on a year-on-year basis, across major categories like computer services, business services, travel services and transportation services.