New Delhi, Nov. 14 -- India's current account deficit (CAD) is expected to widen to USD 57 billion, or 1.4 per cent of GDP, in FY27 as stronger domestic demand and higher oil prices keep imports elevated despite robust export growth, according to a report by ICICI Bank.

The bank also expects India's goods trade deficit to reach USD 380 billion during the financial year, compared with its earlier estimate of USD 388 billion, with gold imports likely to remain moderate.

"Goods exports have seen a stellar performance in the fiscal year so far (22% YoY), but stronger domestic demand and higher oil prices have driven goods imports higher too (16% YoY)," the report said.

India's merchandise trade deficit widened to nearly USD 40 billion in O...