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RBI expects healthy balance-of-payments surplus in FY27

RBI expects healthy balance-of-payments surplus in FY27
RBI expects healthy balance-of-payments surplus in FY27 as June capital measures pay off · livemint.com

The Reserve Bank of India is the country's main bank, kind of like a grown-up piggy bank manager.

In June it made new rules to encourage people from India living abroad to put their foreign money into Indian banks.

These special savings plans are called FCNR deposits, and the RBI helps protect them from currency risk.

The plan worked very well — in just 53 days, India received over $40 billion from outside.

Now the RBI expects more money to flow into India than out of it this year, which is called a balance of payments surplus.

That is good because it helps keep the Indian rupee strong and steady.

A strong rupee makes it easier for businesses to buy things from other countries.

The RBI now thinks the surplus will be about $40 billion, which is more than was expected before.

There are still some worries, like expensive energy and trade problems around the world, but new trade deals may help.

Overall, the RBI says India's money situation is doing well.

Key facts

BoP surplus estimate (FY27)
$40 billion, revised up from $25 billion
Capital inflows mobilized
$40.8 billion in 53 days
FCNR(B) share of inflows
90%
Current account deficit estimate
1.7% of GDP (FY27)
Gross FDI inflows (Apr–Jun 2026)
$30.7 billion, up from $26.7 billion a year earlier
FPI net inflows (Jun–Jul)
$7.1 billion, primarily into debt
FX reserves import cover
More than 10 months
FX reserves external debt cover
90.8%

Quotes

Sanjay Malhotra

Governor of the Reserve Bank of India

“Despite the challenging and turbulent global macroeconomic environment, India’s current account deficit in 2025-26 remained modest and much below the levels considered to be sustainable for emerging markets.”
livemint.com
“Capital flow measures undertaken in June have supported inflows. As a result, the balance of payments is expected to register a healthy surplus this year.”
livemint.com

Sources

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