India reports current account surplus of 0.9% in pandemic affected FY21

Mumbai: India reported a current account surplus of 0.9 per cent of GDP in the pandemic-hit FY21, as against a deficit of 0.9 per cent in FY20, data released by the RBI showed on Wednesday. The country’s current account deficit widened to $8.1 billion or 1 per cent of GDP for the March quarter, as against a surplus of $0.6 billion or 0.1 per cent of the GDP



in the year-ago period and a deficit of 0.3 per cent in the preceding Dec quarter, as per the central bank data. 

The CAD, the gap between the country’s overall foreign receipts and payments, is an important factor representing a nation’s external sector’s strength.