Search Result for : Current Account Deficit

The Dollar Business Bureau The government think-tank, Niti Aayog in its recent three-year action agenda draft has suggested that the government should reduce the import duty on gold. It should be recalled that since January 2012, the government had increased the duty through a series of measures to discourage the imports of the yellow metal and keep a check on the rising current account deficit (CAD) which was 4.8% of GDP in 2012-13. It was the decision of the then finance minister P Chidambaram to keep the CAD at 3.7% of the GDP. Subsequently, as part of its efforts, the government then had increased the customs duty on platinum and gold to 10%  which was again increased to 15% in September ...

The Dollar Business Bureau The Indian gold imports witnessed a decline of about 24% and stood at $23.22 billion in the period April-February of 2016-17, which is likely to keep in control the current account deficit (CAD). In the corresponding period of fiscal 2015-16, total imports of the yellow metal were $30.71 billion. As per industry experts, easing of gold prices in the domestic as well as global markets can be the reason for contraction in imports. The shrinking of imports helped in decreasing the trade deficit, which stood at $95.2 billion during the April-February period of 2016-17 compared to $114.3 billion in the corresponding period of previous fiscal. However, gold imports on month-on-month basis, surged to $3.48 ...

PTI  The current account deficit (CAD) increased to $7.9 billion, or 1.4 per cent of GDP, in the December quarter due to a fall in services exports, the Reserve Bank said on Thursday. The CAD -- the difference between the value of imports of goods, services and investment incomes, and that of exports -- was $3.4 billion, or 0.6 per cent, in the September quarter and 1.4 per cent in the year-ago period. During April to December, however, the deficit halved to 0.7 per cent, from 1.4 per cent a year ago. This was primarily because of fall in earnings from software, financial services and charges for intellectual property rights. "Despite a slightly lower trade deficit on a year-on-year basis, CAD ...

The Dollar Business Bureau The country’s exports in August showed a modest decline from that of October 2015, which could be leading to a positive growth in the coming months say experts. Merchandise exports in August shrank to 0.3% y-o-y to $21.5 bn due to a weak global demand combined with that of a decline in exports of petroleum products. Exports Exports were valued at $21518.60 million (Rs.144044.67 crore) which was 0.30 per cent lower in dollar terms (2.56% higher in rupee terms) than the level of $ 21582.67 million (Rs.140443.43 crore) during August, 2015. Reacting to the trade data which showed a modest decline of 0.3%, S C Ralhan, President FIEO said that “the decline in exports has largely been ...

Since the imposition of the import duty on gold in 2013, industry analysts on several occasions asked the government to reduce the duty on yellow metal as it has resulted in gold smuggling The Dollar Business Bureau In the Budget 16, Arun Jaitely had announced a 12.5% excise duty on gems & jewellery industry with input credit, 1% excise duty on the industry without input credit   After a significant decline in gold imports during the period April-December 2015-16, the inbound shipments of yellow metal surged by 62% in January and 85% in the subsequent month. During the first three quarters of the current financial year, the government managed to save Rs.25,000 crore due to less imports of gold and the imposition of a ...

The Finance Ministry has been of the view that gold imports are on the rise and continue to pose threat to containing the current account deficit (CAD) Source: PTI The gems and jewellery industry has been complaining that it is difficult to compete in the global market because of 10% duty on gold imports   The Commerece Ministry has said it is in favour of relaxing restrictions on gold import duty in order to boost the gems and jewellery industry. It has at least in the last one year maintained that in order that gems and jewellery sector does not get adversely affected, there should be some easing of gold import (norms), Commerce and Industry Minister Nirmala Sitharaman told reporters in New Delhi. The gems ...

The Dollar Business Bureau  Amid tumbling gold price in the international market, the government on Friday cut import tariff value on the yellow metal to $354 per 10 grams and on silver to $470 per kg. The import tariff value is revised on fortnightly basis and is used to determine custom duty on inward shipments to prevent under-invoicing. In the previous fortnight, the import tariff value on gold was fixed at $373 per 10 grams and on silver was $517 per kg. Global gold and silver prices have been tumbling in recent month owing to a weak demand and reduced industrial applications. On Friday, gold prices in India was around Rs.26,000 per 10gm, while silver remained around Rs.34,400 per kg. Gold ...

Source: PTI Asserting that the Indian economy has shown resilience in the face of challenging global trends, President Pranab Mukherjee on Saturday said it has the potential to attain a size of $10 trillion over the next two decades. Inaugurating the 35th India International Trade Fair (IITF) 2015 at Pragati Maidan in New Delhi, he said there was a need to provide impetus to domestic manufacturing, and ‘Make in India’ campaign along with focus on Asia, Africa and Latin America as newer export markets will help sustain the challenges from the external sector. “We are a $2.1 trillion economy and have the potential to be a $10 trillion economy over the next two decades provided we are able to ...