India current account deficit widens June

India's current account deficit widened to $6.2 billion in June 2026 from a surplus of $1.2 billion in the same month last year, according to preliminary data released by the State Bank of India on August 14, 2026. The widening was primarily driven by a larger merchandise trade deficit, which rose to $30.2 billion from $19.2 billion a year earlier. Merchandise exports increased to $41.2 billion from $35.3 billion, while imports rose faster to $71.4 billion from $54.5 billion. The services surplus increased to $17.9 billion from $16.2 billion, and net transfers rose to $11.9 billion from $10.9 billion. On the capital account, net inflows stood at $9.1 billion, compared with an outflow of $1.6 billion in the year-ago month. Net foreign direct investment was $1.3 billion, and foreign portfolio investment recorded a net inflow of $2.5 billion. The overall balance was positive at $2.9 billion in June, against a deficit of $0.4 billion in June 2025. For the April-June quarter, the merchandise trade deficit widened to $85.7 billion from $68.9 billion, while the services surplus increased to $52.2 billion from $47.9 billion. The overall balance for the quarter was negative at $8.1 billion, compared with a positive $4.5 billion in the same period last year.