A Steady Stream

Context:

• As per the RBI’s quarterly statistics, the current account deficit (CAD) widened, and it is seen as a matter of concern as it may have impacts on Trade.

Findings from RBI’s Data:

• The current account deficit (CAD) widened to 4.4 per cent of GDP in the second quarter of 2022-23, down from 2.2 per cent in the preceding quarter.
• The latest statistics also reveal a sharp decline in the trade deficit to $1.27 billion in January on the back of a significant rise in net services exports.
• India’s services exports grew at 23.5 per cent in 2021-22.