Trade Deficit during November 2013 - Angel broking

Ms. Bhupali Gursale - Economist - Angel Broking, on Trade Deficit during November 2013:

"The narrowing in the November 2013 trade deficit can be attributed mainly to a steep decline in imports particularly non-oil imports. Non-oil Imports have continued to contract for the sixth consecutive month on account of restrictions imposed on the import of gold as well as weak domestic demand in the economy owing to sluggish growth. So far, the cumulative trade deficit during April - November 2013 (at USD 99.9 billion) has reported de-growth of 23% yoy owing to an improvement in export performance as well as import compression during the period. We believe that these positive trends in the trade balance are likely to bode well for the current account deficit in 3QFY2014 as well and we expect it to remain within RBI's comfort level of 2.5% of GDP."

Source : Equity Bulls

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