'India can stand out in this turbulence if..': Uday Kotak as global financials market turmoil continues
1 min read . Updated: 16 Mar 2023, 10:31 AM IST
Premium- Even as the global turmoil continues in financial markets, the macro factors are turning better for India, said Uday Kotak
Even as the global turmoil continues in financial markets, the macro factors are turning better for India, as per top banker and Indian billionaire Uday Kotak who believes that India can stand out in this turbulence if it navigates well.
“Even as the global turmoil continues in financial markets, the macro factors are turning better for India. Current account deficit looks below 2.5% Fy 23, and going below 2% in Fy 24. Lower oil helps. If we walk our talk and navigate well, India can stand out in this turbulence," said Uday Kotak in a tweet on Thursday.
India’s goods trade deficit narrowed to a 13-month low in February as imports declined amid a demand slowdown in the economy. The gap between exports and imports fell for a fourth straight month to $17.43 billion in February.
Exports dipped in February for the third consecutive month by 8.8% to $33.88 billion as compared to $37.15 billion in the same month last year. Imports, meanwhile, also dipped by 8.21% to $51.31 billion as compared to $55.9 billion recorded in the corresponding month last year.
India’s current account deficit (CAD) widened to a nine year high of 4.4% of GDP in the second quarter on account of higher trade deficit, reflecting the impact of slowing global demand on exports. The country recorded a CAD of 3.3% of GDP in the first half of the current fiscal.
Global stock markets have been tumbling battered by fears of a deepening crisis for banks worldwide. Credit Suisse shares nosedived to historic lows on Wednesday after its main shareholder said it would not invest any more money, as market jitters over European lenders spiralled in on the Swiss bank.
Meanwhile, oil prices plunged % on Wednesday to settle at the lowest levels in more than a year on concerns that a crisis of confidence in the banking sector could trigger a recession and cut demand, however, regained later on Thursday after a three-day rout.
