{"id":27591,"date":"2018-10-23T14:56:04","date_gmt":"2018-10-23T09:26:04","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=27591"},"modified":"2018-10-23T14:56:04","modified_gmt":"2018-10-23T09:26:04","slug":"current-account-deficit-widens-to-2-4-of-gdp-as-oil-offsets-gains-in-remittances-2","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/current-account-deficit-widens-to-2-4-of-gdp-as-oil-offsets-gains-in-remittances-2\/","title":{"rendered":"Current account deficit widens to 2.4% of GDP as oil offsets gains in remittances"},"content":{"rendered":"<p><a href=\"https:\/\/www.livemint.com\/Money\/P9NudlkHGg3x3Rkr3gkKyK\/Current-account-deficit-at-24-of-GDP-in-Q1.html\"><strong>Current account deficit widens to 2.4% of GDP as oil offsets gains in remittances <\/strong><\/a><\/p>\n<p><strong><u>News<\/u><\/strong>:<\/p>\n<ol>\n<li>India\u2019s Current Account Deficit (CAD) widens to 2.4 per cent of GDP.<\/li>\n<\/ol>\n<p><strong><u>Important Facts:<\/u><\/strong><\/p>\n<p>2.India\u2019s CAD widens to 2.4 per cent of GDP in the April-June quarter of 2018-19 against 1.9 % in Jan-March quarter of 2017-18 due to rise in oil prices.<\/p>\n<p><u>3. Some important Data<\/u><\/p>\n<ul>\n<li>Merchandise trade deficit expanded to USD 45.7 Billion in June quarter compared to USD 41.6 Billion in January quarter.<\/li>\n<li>Net service export at USD 18.7 Billion compared to USD 20 Billion due to lower performance of IT services.<\/li>\n<li>Remittance picked up to $10.7 Billion in March quarter.<\/li>\n<li>Increase in FDI from $6.4 Billion to $9.7 Billion.<\/li>\n<li>However, Portfolio Investment shows negative growth with net outflow of $8.1 Billion in June against inflow of $2.3 Billion in preceding quarter.<\/li>\n<\/ul>\n<p>4. Indian currency declining due to global factor and high trade deficit on account of high oil price.<\/p>\n<p>5. Elevated oil price has contributed 50 % of the trade deficit in June.<\/p>\n<p>6. Government has required plan to deal with the imbalances. So CAD to this level is not a matter of concern.<\/p>\n<p>7. Foreign Exchange depletion and weak capital inflow has caused Rupees depreciation.<\/p>\n<p>8. CAD in 2019 FY is expected to be 2.6 % and Rupees to average Rs.68.40 to the Dollar.<\/p>\n<p>9. Higher price of oil may reduce the import of Gold however and unless the commodity price retreat, the CAD may be widened to 2.8 %.<\/p>\n<p>10. Depreciation of Rupees to touch Rs.72-73 is expected in the near future.<\/p>\n<p>11. Dip in Inflation below the target of 4.0 %, continue weakening of rupees and GDP growth expected in 2019 may complicate next monetary policy.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Current account deficit widens to 2.4% of GDP as oil offsets gains in remittances News: India\u2019s Current Account Deficit (CAD) widens to 2.4 per cent of GDP. Important Facts: 2.India\u2019s CAD widens to 2.4 per cent of GDP in the April-June quarter of 2018-19 against 1.9 % in Jan-March quarter of 2017-18 due to rise&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/current-account-deficit-widens-to-2-4-of-gdp-as-oil-offsets-gains-in-remittances-2\/\">Continue reading <span class=\"screen-reader-text\">Current account deficit widens to 2.4% of GDP as oil offsets gains in remittances<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[555],"tags":[],"class_list":["post-27591","post","type-post","status-publish","format-standard","hentry","category-test-1","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1704864417},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/27591","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=27591"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/27591\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=27591"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=27591"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=27591"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}