India's current account deficit up at $30.3 billion in April-December 2009

The current account deficit of the country, ie, the difference between exports and imports, during April-December 2009 was higher at $30.3 billion compared with $27.5 billion during April-December 2008.

The capital account, on the other hand, showed a sharp increase in surplus at $43.2 billion during April-December 2009 from $5.8 billion during April-December 2008, mainly on account of large inflows under FDI, portfolio investment, NRI deposits and commercial loans.

There was a net accretion of $11.3 to the country's foreign exchange reserves during April-December 2009, as the surplus in capital account exceeded the current account deficit. Against this, there was a $20.4 billion draw-down of the country's foreign exchange reserves during April-December 2008.

India's merchandise exports recorded a growth of 13.2 per cent in Q3 of 2009-10 as against a decline of 8.4 per cent in Q3 of 2008-09.

Import payments registered a growth of 2.6 per cent in Q3 of 2009-10, compared with an increase of 9.2 per cent in Q3 of 2008-09 (grew 6.6 per cent on Directorate General of Commercial Intelligence and Statistics basis) during the quarter under review. The low growth in imports is mainly attributed to decline in oil related import payments due to lower international crude oil prices during the period.

The trade deficit, on a BoP basis, was lower at $30.7 billion as compared with $34.0 billion during Q3 of 2008-09.