{"id":496650,"date":"2026-05-22T00:49:14","date_gmt":"2026-05-22T00:49:14","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/496650\/"},"modified":"2026-05-22T00:49:14","modified_gmt":"2026-05-22T00:49:14","slug":"india-considering-steps-to-control-cad-amid-rupee-export-pressure-piyush-goyal","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/496650\/","title":{"rendered":"India considering steps to control CAD amid Rupee, export pressure: Piyush Goyal"},"content":{"rendered":"

New Delhi: India is considering several measures to rein inthe current account deficit<\/a>,commerce and industry minister Piyush Goyal<\/a> said Thursday, as a slide in the rupee anddecline in exports widened thecountry\u2019s trade gap<\/a>, exacerbating the challenges facing policymakers due to the Iran war<\/a>.<\/p>\n

\u201cWe are monitoring the situation,\u201d said Goyal. \u201cAll the various arms of the government areworking as a team. Several stepsare under consideration,\u201d he said, responding to a query on measures the government plans totake to contain the current account deficit (CAD) and rupee depreciation<\/a>.
The CAD climbed to $13.2 billion, or 1.3% of gross domesticproduct (GDP), in the Decemberquarter from $11.3 billion a yearago, amid a wider trade gap caused by a drop in shipments to theUS, India\u2019s top export market.<\/p>\n

Also read: Current account deficit to widen to 2.3 per cent of GDP in FY27 from 0.9 pc in FY26: Report<\/a><\/b>\"India's<\/p>\n

Govt \u2018monitoring the situation\u2019 to arrest slide of rupee as war headwinds persist<\/p>\n

\"ETLive EventsThe rupee has weakened about7% against the US dollar so farin 2026 and is down about 6.1%since the outbreak of the war inlate February. It closed at 96.3 onThursday.
\u201cThe situation globally is quite challenging, but we have theconfidence and courage of conviction that we will come outwinners even in this challenging time,\u201d said Goyal on the sidelines of an event organisedby the American Chamber ofCommerce.
Also read: Why CEA Anantha Nageswaran says India is facing a \u2018Live Balance of Payments Stress Test\u2019<\/a><\/b>
Pressure on Forex ReservesThe government raised basiccustoms duty on gold and silverimports to 10% from 5%, and theagriculture infrastructure anddevelopment cess to 5% from1%, taking the total effective import duty to 15% with effect fromMay 13. Imports of certain typesof silver have also been restricted while placing limits on goldimports by exporters under theadvance authorisation scheme.<\/p>\n

The move is aimed at curbingoverseas purchases of precious metals and reducingpressure on the country\u2019s foreign exchange reserves.<\/p>\n

Gold imports surged 24% toarecord $71.98 billion in FY26although by volume, importsfell 4.8% to 721.03 tonnes. InApril, silver imports surged82% year-on-year to $5.62 billion, driven by high prices.<\/p>\n

Prime Minister NarendraModi has appealed to citizensto avoid buying gold and make unnecessary foreign tripsand reduce petrol and dieselconsumption to make theeconomy resilient amid thedisruptions caused by theIran war. \u201cWe have made anappeal to all the citizens of India to be more conscious about their spending on products which are import-dependent,\u201d said Goyal.<\/p>\n

Also read: “Confident” US-India trade deal will be finalised in “coming weeks”: Ambassador Gor<\/a><\/b><\/p>\n

US-India Trade DealThe minister said a US teamis likely to visit India nextmonth to continue negotiations for a bilateral trade agreement<\/a> (BTA).<\/p>\n

Speaking at the event, Goyal said several big US companies have announced investments in India as the countryremains a favoured investment destination for theworld. \u201cIn the last sixmonths, if I look back at thevarious commitments thatwe have seen from Americanindustry, probably the number will be upwards of $60 billion,\u201d he said. \u201cLook at theAmazon data centre commitment, Google data centrecommitments. So, my gut feeling is that America and India truly are working as natural partners. We complementeach other.\u201d<\/p>\n

Highlighting that New Delhi needs to work closely withWashington in areas such astechnology, innovation, highprecision defence, digital data centres, quantum computing equipment, and medicaldevices, Goyal said India canprovide scale to American innovation in terms of demandaggregation of 1.4 billionaspirational Indians, a risingmiddle class and incomes,and a growing economy<\/p>\n","protected":false},"excerpt":{"rendered":"New Delhi: India is considering several measures to rein inthe current account deficit,commerce and industry minister Piyush Goyal…\n","protected":false},"author":2,"featured_media":496651,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[174],"tags":[66508,216275,79,204675,179,18,26758,19,34602,169299,17,26804,116248,94387,216276],"class_list":["post-496650","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-american-chamber-of-commerce","tag-bilateral-trade-agreement","tag-business","tag-current-account-deficit","tag-economy","tag-eire","tag-forex-reserves","tag-ie","tag-indian-economy","tag-iran-war","tag-ireland","tag-piyush-goyal","tag-rupee-depreciation","tag-trade-gap","tag-us-india-trade-agreement"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ie\/116615484237730748","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/496650","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=496650"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/496650\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/496651"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=496650"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=496650"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=496650"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}