FX.co ★ India’s Current Account Deficit Narrows Slightly Year-on-Year to 0.60% of GDP

India’s current account balance as a percentage of GDP has improved modestly on a year-over-year basis, with the deficit easing to -0.60% from -0.70% previously, according to data updated on 08 June 2026.

The latest reading shows that, relative to the same period a year earlier, India’s external position has strengthened slightly, as the current account deficit has become less negative. The previous comparison period also reflected a year-over-year improvement, but at a weaker pace, with the deficit then standing at -0.70% of GDP.

While the change is incremental, the continued narrowing of the current account gap suggests a mild but ongoing adjustment in India’s external balances. Investors and policymakers may interpret the shift as a sign of slightly reduced external financing needs compared with the same period last year, although the country remains in deficit territory.