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India's current account deficit narrows to $2.4 billion
India's current account deficit fell to $2.4 billion (just 0.2% of GDP) in the first quarter of FY26, according to the RBI.
That's way down from $8.6 billion a year ago and a big swing from last quarter's $13.5 billion surplus.
While the merchandise trade gap grew to $68.5 billion, stronger services exports and more money sent home by Indians abroad helped soften the blow.
Services exports, remittances help offset merchandise trade gap
India earned more from business and IT services this quarter, with net services receipts jumping to $47.9 billion from last year's $39.7 billion.
Remittances—money sent home by Indians working overseas—also rose to $33.2 billion.
On the investment front, foreign direct investment brought in $5.7 billion, while foreign portfolio investors added another $1.6 billion.