India’s current account deficit widens to $4.2 billion in the first quarter of FY27, according to Reserve Bank (RBI) data cited by multiple outlets. The deficit is reported at 0.5% of GDP, compared with $3.4 billion (0.4% of GDP) in the same quarter of the previous fiscal year.
The broader trade and income components also shift in Q1 FY27. NDTV and the Free Press Journal both report that India’s merchandise trade deficit rises to $86.1 billion in April–June 2026 from $68.9 billion a year earlier. Free Press Journal further details that services receipts increase to $51.6 billion from $47.9 billion, and that personal transfer receipts (including remittances) rise to $42.9 billion from $33.2 billion.
On capital-flow items, Free Press Journal adds that foreign direct investment (FDI) records a net inflow of $6.1 billion, higher than $5.2 billion in the comparable quarter. Across the reports, the main emphasis is the widening current account deficit and the larger merchandise trade gap, with additional service, remittance, and FDI figures provided by Free Press Journal.
