India: Trade deficit widens in May
June 16, 2017
Recently released data related to India’s external sector showed that the trade deficit totaled USD 13.9 billion in May, which was a greater shortfall than the USD 6.8 billion gap recorded in May 2016 (April 2016: USD 13.3 billion deficit).
The deterioration in trade data came on the back of a surge in imports growth. Imports expanded a strong 33.5% over the same month last year (April: +49.1% year-on-year), and totaled USD 37.9 billion. The increase was due largely to rising commodities imports. Meanwhile, exports growth moderated, coming in at 8.3% (April: +19.8% yoy) and totaling USD 24.0 billion.
The rolling 12-month trade deficit widened from USD 114 billion in April to USD 122 billion in May.