FX.co ★ India’s Trade Deficit Narrows to USD -83.4B in Q1 2026

India’s trade balance improved in the first quarter of 2026, with the deficit narrowing to USD -83.400 billion, according to data updated on 8 June 2026. This compares with a previous reading of USD -93.600 billion recorded in the third quarter of 2026.

The latest figures indicate a reduction in the overall trade gap, suggesting some easing of external pressures on the country’s balance of payments between the two reported periods. While the trade balance remains in deficit, the smaller shortfall in Q1 2026 may reflect shifts in export performance, import demand, or both.

Market participants and policymakers are likely to watch subsequent releases closely to determine whether this narrowing trend continues and how it may influence broader economic conditions and policy discussions.