After a dip in FY16, capital inflow has improved substantially during the first half of FY17, as per data released by RBI recently. Inflows so far stand at over $ 25 billion, almost three times the total inflow during FY16. More importantly, two-thirds of it is in the form of more stable, foreign direct investment. … Continue reading Foreign Capital Inflows – India's Performance..
In terms of net trade balance, different categories have vastly different share and therefore, criticality in maintaining the BoP. The shares are – Trade in Goods. ( -12.7%) Services. (6.8%) Transfers. (6.2%) Income from investments. (-2.4%) Total Current Account deficit (-2.2%) This means, even with lower share in total trade, services and transfers account for … Continue reading Balance of Payment – Part II