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January 16,  2006

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  Increased NRI Remittance Contains Deficit

 

A 15% increased inward remittances from expatriates have contained current account to about 2.5% of the USD 800 billion Indian economy. The Indian import-export trade deficit this year is expected to be about USD 40 billion; USD 135 billion import minus USD 95 billion export. Experts caution that these figures refer only to data captured by the Government and if defense expenditure is included, the deficit would be much higher. Significantly, inflows from remittances exceed all other capital inflows put together and this trend is expected to continue.

 

 

 

 

 

 

 

 

 

 



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