New Delhi, Sept. 15 -- India's current account deficit widened to USD 7 billion in July 2026 from USD 3.2 billion a year ago, primarily due to a higher merchandise trade deficit, according to preliminary data released by the Reserve Bank of India on Tuesday.

The current account deficit, which reflects the gap between foreign exchange earned and spent on trade, services, income and transfers, stood at USD 11.2 billion during April-July 2026, compared with USD 6.6 billion in the corresponding period of 2025.

The merchandise trade deficit widened to USD 31.7 billion in July from USD 28.2 billion a year earlier. Merchandise exports rose to USD 45.1 billion from USD 37.4 billion, but imports increased at a faster pace to USD 76.8 billion fro...