India's current account deficit widens in FY26, RBI data reveals

India's current account deficit widened to $25.2 billion in FY26, despite a Q4 surplus driven by services. This widening occurred due to a larger merchandise trade deficit, a common issue for India due to high oil and gold imports. Net invisible receipts and FDI inflows increased, but foreign portfolio investors withdrew funds, leading to a depletion of foreign exchange reserves.