A plunge in oil and gold imports has trimmed India's trade deficit to its lowest level in more than five years, bolstering the outlook for its balance of payments.
The trade shortfall narrowed for the fourth straight month in April to $4.84 billion, its lowest level since March 2011, from $5.07 billion in the previous month, government data showed on Friday (13 May).
Tumbling global crude prices drove down the oil import bill by 24 per cent from a year earlier to $5.66 billion last month.
Subdued gold demand, due to a jewellers' strike and a sharp rise in prices, led to a 60 per cent annual fall. Imports of the yellow metal totalled $1.2 billion, sharply down from $3.1 billion in the same month a year ago.
Overall, India's imports shrank by an annual 23.10 per cent to $25.41 billion.
India's balance of payments swung to a surplus in the October-December quarter.
Exports, meanwhile, posted their 17th straight fall, contracting by an annual 6.74 per cent to $20.57 billion.
(Reuters)
