India's Current Account Deficit Widens to $13.2 Billion in Q3 FY26 on Trade Gap

India's current account deficit (CAD) widened to USD 13.2 billion, or 1.3% of GDP, in the October-December quarter of 2025-26, up from USD 11.3 billion (1.1% of GDP) a year earlier, mainly due to a higher merchandise trade deficit which rose to USD 93.6 billion. However, net services receipts and remittances increased, partially offsetting the deficit. The CAD moderated to USD 30.1 billion (1.0% of GDP) in April-December 2025 from USD 36.6 billion (1.3% of GDP) a year ago. Foreign direct investment saw net outflows, while foreign portfolio investment outflows declined.