India’s Current Account Gap Widens; Oil Emerges as New Risk

India’s current account deficit widened in the October-to-December quarter as exports slowed after US President Donald Trump imposed a 50% tariff on the country’s goods, while higher oil prices pose a renewed risk to the trade gap.

The shortfall in the broadest measure of trade in goods and services was $13.2 billion, or 1.3% of gross domestic product, in the three months, according to Reserve Bank of India data released Monday. The gap was narrower than $16 billion in a Bloomberg survey. The CAD stood at a revised $11.3 billion in the July-to-September period.