"According to the global financial services major, though CAD at 3.2 per cent of GDP is significantly lower than the 4.8 per cent it registered in fiscal year 2012-13 ", it still remains higher than the 2.4 per cent of GDP that we estimate as the optimal current account deficit".
While India allows 100 per cent FDI in a large number of the sectors, there is a ceiling on foreign investment in sensitive segments like multi-brand retail, insurance, defence and telecom.
Lower crude prices and dip in gold demand will push the CAD down.
India's current account deficit (CAD) will be contained at USD 45 billion this financial year, well below the record high level of 2012-13, Finance Minister P Chidambaram said on Monday.
The Reserve Bank too imposed a series of curbs to restrict gold imports.
Anand Rathi recently carried out a research on the behaviour of the economy and CAD.
Gold imports surged by 93.86 per cent year-on-year to $4.98 billion.
The fiscal deficit, as per the survey, deteriorated to 5.8 per cent of the GDP as compared to 3.4 per cent for 2018-19 estimated in the interim Budget.
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The interest on foreign currency non-resident accounts has been liberalised to attract more deposits.
The rupee is likely to strengthen to 60-61 level by this fiscal-end on expectations of improvement in current account deficit (CAD) and higher inflows from overseas investors.
September import growth was the second lowest this fiscal year, after the April growth figures of 4.6 per cent, bringing the trade deficit down to $13.98 billion
As macroeconomic fundamentals improve, Sensex will make new highs. Here're stocks that can give good returns.
Government and Reserve Bank to take steps to arrest the fall of the currency.
Trade deficit for the quarter narrowed by about a third to $30.7 billion from $45.6 billion in the year-ago period.
According to the data available on the Reserve Bank of India's website, net workers' remittances in April-June 2018 were $11.5 billion
Internshala Trainings is offering free online trainings for 1,000 young professionals who have lost their jobs in the pandemic.
It has 150 research and development locations in over 30 countries around the world, employing over 32,300 people.
CAD of a country represents the difference between inflows and outflows of foreign currency.
The restrictions on gold imports will be reviewed by March end, Finance Minister P Chidambaram said on Monday.
A high CAD puts pressure on the rupee, which in turn makes imports expensive and fuels inflation.
The central bank listed the widening CAD, which is expected to reach record levels of over 5 per cent this fiscal as one of the primary reasons which could prevent it from reducing rates further.
Exuding confidence that current account deficit (CAD) will come down to 3.7 per cent of GDP in 2012-13, Finance Minister P Chidambaram on Monday said overseas capital flows would be sufficient to bridge the gap in inflow and outflow of foreign funds.
Citigroup revised CAD estimates for financial year 2013 to 4.7 per cent from 4 per cent of GDP after incorporating the latest trade and GDP data, and said CAD is likely to stay elevated in financial year 2014 as well.
The country's CAD stood at 5.4 per cent of GDP during April-December period of financial year 2012-13 amounting to $72 billion.
'We have the more difficult reforms to do such as the reduction of subsidy, the insurance and pension sector reform, eliminating bureaucratic red tape and implementing Goods and Services Tax'
The Finance Ministry on Monday sought to assure the investors that the country's fundamentals are "very strong" even as the rupee slipped to below 63 to a US dollar and the BSE Sensex plunged by over 426 points on global cues, following currency crisis in Argentina.
The senior Congress leader was in New Delhi to campaign in Maharashtra Assembly polls.
Since end-May there has been volatility in the foreign exchange market.
Rating agency expects current account deficit to remain at a modest 1.4% at end of FY16 and stay at similar level till 2018
PowerGrid was the top gainer in the Sensex pack, spurting 2.76 per cent, followed by NTPC, M&M, L&T, Hindustan Unilever, HDFC, and Infosys.
Around 10 to 15 contract labourers were at the site when the incident occurred, Wardha's additional superintendent of police Nikhil Pingle said.
India's Current Account Deficit rose to a record 6.7 per cent in the quarter ended December of 2012-13.
The current account deficit widened to $10.1 billion or 2.1 per cent of GDP for the September quarter as against 1.2 per cent in the year-ago period.
The investment banking major has hiked its FY'14 CAD forecast to 4.3 per cent of GDP from 3.8 per cent with slowing global recovery likely to delay export turnaround.
India's CAD had touched a record high of 4.2 per cent of GDP in 2011-12, on the back of a wider trade gap and lower capital inflows.
Gold imports tick up 10.47% to $2.42 billion in May.
The Commerce and Industry Ministry is pitching for easing of the gold import restrictions to boost gems and jewellery exports
Imports of gold and silver in February 2013 stood at $5.24 billion. In January this year, they were $1.72 billion.
The scheme, touted as a panacea to burgeoning CAD, was a huge flop that fostered a spike in smuggling and allowed several Gitanjali-like players to make a killing
The Reserve Bank remains laser-focused to bring back retail inflation to 4 per cent over a period of time in a non-disruptive manner, Governor Shaktikanta Das stressed while voting for status quo in interest rates, as per minutes of the October policy meeting released on Friday. The central bank has been mandated by the government to ensure the Consumer Price Index (CPI) based inflation is at 4 per cent, with a band of 2 per cent on either side. The retail inflation, which was above 6 per cent during May and June, has started moving down and stood at 4.35 per cent in September.
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