India’s CAB surplus at $7 bn in Q4 FY25, risks persist: Ind-Ra
India's current account balance has recorded a $7 billion surplus (0.7 per cent of GDP) in Q4 FY25, driven by stronger exports and lower imports, according to Ind-Ra. However, global trade uncertainties, US tariffs, and geopolitical tensions may widen the deficit to 1.2 per cent of GDP in Q1 FY26. A potential Strait of Hormuz disruption could push the CAD beyond 1.5 per cent later in FY26.
India's current account balance has recorded a $7 billion surplus (0.7 per cent of GDP) in Q4 FY25, driven by stronger exports and lower imports, according to Ind-Ra.
However, global trade uncertainties, US tariffs, and geopolitical tensions may widen the deficit to 1.2 per cent of GDP in Q1 FY26.
A potential Strait of Hormuz disruption could push the CAD beyond 1.5 per cent later in FY26.
