It may not be a surplus, but it’s some positive economic news for India: the trade deficit has narrowed again.
Data published by the Ministry of Commerce and Industry show that the trade gap declined to two-year low of $10.3bn in March – compare that with the deficit of $14.9bn in February and $13.5bn in March 2012. Continue reading »
For a poor country, India has expensive taste.
It is the world’s biggest importer of gold – a pricey habit that has taken its toll on the country’s current account deficit. So is the recent tumble in the gold price just what India’s economy needs? Continue reading »
India’s current account deficit was expected to be big in the last quarter of 2012. But not this big.
The Reserve Bank of India said on Thursday the deficit reached $32.6bn in the third quarter of the fiscal year, equal to 6.7 per cent of GDP – a record. That’s up significantly from 5.4 per cent of GDP in the previous quarter and 4.4 per cent in the same quarter a year earlier. Continue reading »
Gold jewellery has a special place in Indian culture – it plays a part in weddings, in prayer and – most importantly – in general social exhibition. But does anyone know where their shiny yellow metal actually comes from?
On Wednesday, India’s trade ministry recommended that gold jewellery should be excluded from the country’s free trade agreement with Thailand, amid concerns that neighbouring countries are routing their trade through Thailand to dodge duties.
Continue reading »
India’s current account deficit has a heart of gold. And so it is that imports of the yellow metal are facing a two-pronged attack.
The country’s finance minister hinted that importing gold should be costlier on Wednesday, the same day that a working group at the Reserve Bank of India published a draft report with much the same message. Continue reading »
The rupee’s troubles are plain for all to see: shunned by global risk aversion, investors seeking safe haven in dollars (they’re also running from other EM currencies), and battered by a weak domestic economy and ineffectual policymakers, it’s spent the past two weeks hitting all-time low after all time low.
At 5:06pm IST on Wednesday, it stood at Rs56.1850 against the dollar – not an all-time low, but not far off. So what can be done? Anything, anyone? Continue reading »
More bad news for the Indian economy as the country’s trade deficit hit a record high of $184.9bn – or 9.9 per cent of GDP – for the fiscal year that ended in March, according to data released on Thursday.
So what was the main culprit: gold, or oil? Continue reading »