Gold import curbs may reduce India's current account deficit
after close1 source ↓written by the desknot a recommendation
- in gold imports
- 20% decline
- in FY27
- 10 basis points
- projected CAD
- 2.1%
India's recent gold import restrictions could potentially narrow the current account deficit (CAD). HDFC Bank estimates that a 20% decline in gold imports could lower CAD as a share of GDP by 10 basis points in FY27, with a projected CAD of 2.1%. This move may help mitigate risks from rising crude oil prices and geopolitical disruptions.
Not investment advice. For informational purposes only.