Overview
- Government data released Friday showed exports at $43.56 billion and imports at $71.94 billion, widening the monthly goods gap to $28.38 billion.
- Disruptions at the Strait of Hormuz from the US‑Israel‑Iran conflict pushed global crude higher, raising India’s energy bill for a country that relies on foreign oil and cooking gas.
- Electronics became the second‑largest import after crude at about $12.7 billion, while gold shipments jumped roughly 82% to $5.63 billion, deepening the gap.
- Goods exports rose about 14% on higher prices and new markets, and services exports of $37.24 billion helped limit the combined goods‑plus‑services deficit to about $7.8 billion.
- After a May 13 duty hike lifting gold and silver tariffs to 15% and a public push to conserve fuel, analysts at ICICI Bank warned the current account deficit could reach 1.5–2% of GDP if oil and gold costs stay elevated.