NRI Real Estate and Property Investment in India
 |  WWW.NRIREALTYNEWS.COM
IREF- Join Now
 
Service Sector Pushing Remittances in India,says RBI
Monday , April 02, 2007

An increase in remittances in India has helped the country to reduce its current account deficit for the third quarter of 2007. Current account measures the quantum of both trade and services that India has with the other countries.

The current account deficit stood at USD3 billion for the third quarter ended Dec 31, 2006 against $4.7 billion in the corresponding period in 2005. For the period between April-December 2006, the current account deficit was at about USD12 billion. The values have shown no significant change since the previous corresponding period, as per the data showcased by Reserve Bank of India (RBI).

Since, India is more into importing the things than exporting; it led to the trade balance to fall. Imports during the quarter were evaluated to be at the same level. A drop in exports whereas a growth in oil imports and other products such as capital goods including gems, stones, gold, and other metallic ores contributed to increasing the gap between exports and imports.

However, the receipts from services shoot up to USD16 billion for the quarter of 2005 whereas imports marked the growth rate by 25% in this quarter as against 17% in corresponding period in 2005.

Talking about net software earnings for the period between April to December 2006, it was nearly USD20 billion against USD15.5 billion in the corresponding period in 2005. Software earnings accounted for half the receipts on the ‘invisibles’ head in India’s current account.

Capital flows (comprising mainly of External commercial borrowings (ECBs), NRI deposits, foreign direct investment and portfolio inflows) into the country rose to USD10.5 billion during this quarter compared with less than USD 0.1 billion in the corresponding period. However, the low figure of the previous fiscal is explained by the outflow of USD5.5 billion that took place in Dec 2005 to repay the Millennium Deposit of the State Bank of India.

Add to your Social Bookmarks:
ADD TO DEL.ICIO.US ADD TO DIGG ADD TO FURL ADD TO NEWSVINE ADD TO NETSCAPE ADD TO REDDIT ADD TO STUMBLEUPON
ADD TO TECHNORATI FAVORITES ADD TO SQUIDOO ADD TO WINDOWS LIVE ADD TO YAHOO MYWEB ADD TO ASK ADD TO GOOGLE  

 

 

Return to India

NRI INSURANCE

NRI SERVICES

 

Indian Cities Guide

DELHI   NOIDA   GHAZIABAD
         
GURGAON   MUMBAI   AHMEDABAD
         
KOLKATA   CHENNAI   HYDERABAD
         
BANGALORE   PUNE   CHANDIGARH
         
..More cities »
NRI Communities in Different Countries  
Indian Embassies & Consulates in Different Countries
 
NRI Newsletters  
NRI Feeds - Syndications