India reports current account surplus for second straight quarter at 3.9 pc of GDP in April-June

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September 30, 2020 3:56 PM

The country's current account surplus rose to USD 19.8 billion or 3.9 per cent of GDP in the June quarter as merchandise imports declined amid the COVID-19 pandemic, the Reserve Bank said on Wednesday.

The current account surplus stood at USD 0.6 billion or 0.1 per cent of GDP in the March quarter while there was a current account deficit of USD 15 billion or 2.1 per cent of GDP in the year-ago period.

The country’s current account surplus rose to USD 19.8 billion or 3.9 per cent of GDP in the June quarter as merchandise imports declined amid the COVID-19 pandemic, the Reserve Bank said on Wednesday. The current account surplus stood at USD 0.6 billion or 0.1 per cent of GDP in the March quarter while there was a current account deficit of USD 15 billion or 2.1 per cent of GDP in the year-ago period.

“The surplus in the current account in Q1 of 2020-21 was on account of a sharp contraction in the trade deficit to USD 10.0 billion due to steeper decline in merchandise imports relative to exports on a year-on-year basis,” Reserve Bank of India said.

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