Page 5 - Current Account Deficit
India's trade deficit likely to remain above $20 billion: Barclays
India's trade deficit is likely to remain above $20 billion for an extended period, posing the risk of a wider current account deficit, Barclays said
 "India's trade deficit likely to remain above $20 billion: Barclays")
Pakistan's current account deficit rises to 4-year high of $17.4 bn in FY22
The State Bank of Pakistan (SBP) on Wednesday reported that the country recorded a CAD of USD 17.406 billion in FY22 compared to a gap of just USD 2.82 billion in FY21.
 "Pakistan's current account deficit rises to 4-year high of $17.4 bn in FY22")
Rupee crossing 80 to the dollar is nothing to be startled about
While the impact on other currencies has been sharp with most of them depreciating, the rupee has done well, being somewhere in the middle
India can weather turbulence without damage to credit ratings: S&P
India is likely to lead the region with 7.3 per cent growth in 2022-23 after the GDP grew 8.7 per cent in 2021-22, said the rating agency
 "India can weather turbulence without damage to credit ratings: S&P")
CAD expected to deteriorate in FY23 on costlier imports: FinMin report
With regard to corporate sector, the report said, it has begun to show signs of revival with robust growth in net sales in the quarter ending March 2022, assisted by a general recovery in demand
 "CAD expected to deteriorate in FY23 on costlier imports: FinMin report")
CAD as percentage of GDP: Nowhere near 2012-13 level, yet worrisome
If up to $50 billion is withdrawn from forex reserves to finance CAD, the country would still be able to meet nine month's imports. Any withdrawal beyond this could pose a problem
 "CAD as percentage of GDP: Nowhere near 2012-13 level, yet worrisome")
Taper tantrum playbook key for RBI as rupee continues slide to record lows
The rupee has declined almost 7% this year, bringing back memories of the selloff nearly a decade ago, when fiscal and current account deficits also widened
 "Taper tantrum playbook key for RBI as rupee continues slide to record lows")
Trading gains
Rupee settlement will increase flexibility
 "Trading gains")
TMS Ep212: Tata renewables, Pronab Sen, markets, current account deficit
Is Tata copying Adani, Reliance with its green turn? What's Pronab Sen's take on the state of economy? Will retail stocks survive the wave of inflation? What is current account deficit? Answers here.
 "TMS Ep212: Tata renewables, Pronab Sen, markets, current account deficit")
What is the current account deficit?
Japanese brokerage Nomura recently said that India's current account deficit could widen to 3.3% of GDP in FY23 from 1.2% in the previous fiscal. But what is current account deficit? Let's understand
 "What is the current account deficit?")
Lessons from the Raj: Whether it is gold or salt, higher duties don't work
The problem of gas in Europe, oil in the US and gold in India is a lifestyle problem. High taxes and import duties aren't going to solve it
RBI's innovative approach to control the fall in rupee is commendable
The efficacy of the central bank's steps will be seen in the coming days
 "RBI's innovative approach to control the fall in rupee is commendable")
Trade gap widens to record $25.6 bn; imports surge to $63.58 bn in June
India's traditional high dependence on crude oil led to its imports soaring 94.2 per cent in June to $20.7 billion
 "Trade gap widens to record $25.6 bn; imports surge to $63.58 bn in June")
Twin deficit problem: What does it mean and how does it affect an economy?
The finance ministry recently said that India is at low risk of stagflation. But it also cautioned about a twin deficit problem that India may face. This report tells us what it means
 "Twin deficit problem: What does it mean and how does it affect an economy?")
Top headlines: Gold import duty raised to 15%, GST receipts up 56% in June
India's factory output expanded at its slowest pace in nine months in June. More on that in our top headlines
 "Top headlines: Gold import duty raised to 15%, GST receipts up 56% in June")
As rising CAD starts pinching, the Centre starts scrutinising imports
As the trade deficit in May hit a record high of $24.3 billion, revenue authorities have now become vigilant, according to a report
 "As rising CAD starts pinching, the Centre starts scrutinising imports")
TMSEp200: Single-use plastic, IT workers, Nilesh Shah, twin deficit problem
Will Frooti packs go off the shelves? Can an IT employee be classified as a workman? What is Nilesh Shah's take on investors' approach to markets? What is a twin deficit problem? All answers here
 "TMSEp200: Single-use plastic, IT workers, Nilesh Shah, twin deficit problem")
CAD reduces sequentially to 1.5% of GDP in Q4 as trade deficit moderates
The current account was in deficit to the tune of $ 8.1 billion (1 per cent of GDP) a year ago (Q4 of FY21)
 "CAD reduces sequentially to 1.5% of GDP in Q4 as trade deficit moderates")
India reports CAD of 1.2% of GDP in FY22 on widening trade deficit: RBI
Current account deficit narrows to $13.4 bn or 1.5% of GDP in March qtr against $22.2 bn or 2.6% of GDP in December qtr, say RBI
 "India reports CAD of 1.2% of GDP in FY22 on widening trade deficit: RBI")
Managing currency risks
Adjustment in the rupee exchange rate should not be delayed
 "Managing currency risks")
