Reserve Bank of India (RBI) data shows India's current account deficit narrowing to $5.2 billion in August 2026

Key facts

• India's current account deficit narrowed to $5.2 billion in August 2026 from $6.1 billion a year ago, according to preliminary Reserve Bank of India (RBI) data.
• The merchandise trade deficit declined to $26.6 billion in August from $27.6 billion a year ago, with exports rising to $44.7 billion and imports to $71.3 billion.
• The services trade surplus increased to $16.5 billion in August from $15.6 billion a year ago, with services exports at $35.5 billion and imports at $18.9 billion.
• Net transfers, including remittances, rose to $12.8 billion in August from $12.2 billion a year ago, while the income account deficit widened to $8 billion from $6.3 billion.
• During April-August 2026, the current account deficit widened to $18.3 billion from $12.8 billion in the corresponding period of the previous year.
• Net foreign direct investment (FDI) inflows stood at $3.3 billion in August against a net outflow of $0.1 billion a year ago, while net foreign portfolio investment recorded an inflow of $1.7 billion against an outflow of $2.6 billion in August 2025.
• The overall balance of payments recorded a surplus of $45.4 billion in August, compared with a deficit of $5.6 billion a year ago, and a surplus of $58 billion during April-August 2026.