CAD narrows to 0.9% of GDP in July-Sept on lower trade deficit: RBI

In the first quarter, the deficit stood at 2 per cent of GDP or $14.2 billion

India's current account deficit (CAD) narrowed to 0.9 per cent of GDP, or $6.3 billion, in the September 2019 quarter, on account of lower trade deficit.

It had stood at 2.9 per cent of gross domestic product (GDP), or $19 billion, in the corresponding quarter of 2018-19.

On a sequential basis, CAD had printed 2 per cent of GDP, or $14.2 billion, in the June 2019 quarter.

The current account deficit is the difference between foreign exchange inflows and outflows.

"The contraction in the CAD was primarily on account of a lower trade deficit at $38.1 billion as compared with $50 billion a year