India posts $7.1 bn current‑account surplus in Q4 FY2025‑26

India recorded a current account surplus of $7.1 billion, or 0.7% of its GDP, in the January-March quarter of the 2025-26 fiscal year, according to data released by the Reserve Bank of India on Monday. The surplus, which was supported by robust services exports and higher remittances from Indians working abroad, marks a positive shift from the $13.2 billion deficit reported in the preceding October-December quarter.

For the full 2025-26 fiscal year, however, the current account remained in deficit at $25.2 billion, or 0.6% of GDP. The nation's overall balance of payments showed a surplus of $7.2 billion for the fourth quarter, while registering a deficit of $23.6 billion for the entire year.

The quarterly surplus emerged despite a significant widening of the merchandise trade deficit, which expanded to $83.4 billion in the January-March period from $59.3 billion a year earlier. This gap was more than offset by strong performance in other areas. Net receipts from services exports rose to $60.4 billion from $53.3 billion a year ago, with notable growth in computer services and other business services. Simultaneously, personal transfer receipts, primarily remittances, increased...