India’s trade deficit narrowed to $3.15 billion from $15.36 billion a year ago. It is due to mainly on account of drop in shipments by key sectors such as petroleum, textiles, engineering, gems and jewellery.
Daily Current Affairs Quiz 2020
Key-Points:
Exports in the same month stood at $19.05 billion, while imports were seen at $22.2 billion.
A trade deficit occurs when a country’s imports exceed its exports during a given time period. It is also referred to as a negative balance of trade (BOT).
Balances are calculated for several categories of international transactions
Trade deficits can be shorter or longer term.
Implications of a trade deficit depend on impacts on production, jobs, national security and how the deficits are financed.
