The Indian trade deficit reached a record high, the capital fled wildly, and the Rsdin Rsmit US dollar a record fell below the 79 mark

On July 1, the Indian rupee fell below the 79 rupees in the history of the US dollar. The rupee had become one of the worst Asian currencies this week. It is worth noting that the rupee has touched the record low many times in the past few weeks.

Image source: Yingwei Caiqing

According to Bloomberg, India's expanding trade deficit and capital outflow have brought new risks to rupees, and the rupees fell to a new low and exacerbated the current inflation difficulties. India is facing a series of economic challenges.

In the past year, foreign investors have withdrawn more than $ 32 billion from the Indian stock market. Since this year, foreign investors have withdrawn 28 billion U.S. dollars from the Indian stock market, which has also set a record high. India has become one of the worst Asian markets, and the 30 Index 30 index of India has fallen by more than 15%compared to October last year.

As the global crude oil prices soared, India's import costs have almost doubled. Russia -Ukraine conflicts and global tightening monetary policy have put tremendous pressure on the world economy, and Indian exports have slowed down. In May this year, India's trade deficit has expanded to the highest level of $ 24 billion.

In addition, a survey conducted by Bloomberg at the end of June shows that in the fiscal year as of March 31 next year, India's frequent account deficit accounts for the proportion of GDP (GDP) in China. Doubles of annual levels.

Barclays Bank Economist Rahul Bajoira said, "India's often account deficit has been expanding. The comprehensive rise in commodity prices may lead to the continuous existence of deficit phenomena in the short term. In addition, the outflow of capital has exacerbated external financing The deterioration of demand. "

On June 30, in order to reduce the trade deficit and reduce the pressure on the devaluation of the Indian rupee, the Indian government raised gold import tariffs from 7.5%to 12.5%, comparing with the federal budget to 7.5%in the federal budget last year.

India's governor Shaktikanta DAS has previously stated that the Indian central bank will take multiple measures to not allow rupees to depreciate. The Bank of India has been using foreign exchange reserves to curb the violent fluctuations of India's rupees.

According to data compiled by Bloomberg, in the week of June 17, India's foreign exchange reserve scale has dropped significantly from the peak level of September last year to more than $ 50 billion to US $ 587 billion.

Goldman Sachs wrote in a report released on June 30 that "India's external income and expenditure conditions are deteriorating. The rise in commodity prices and the slowdown of global economic growth have caused an impact on India's trade environment. In the future, due to external revenue and expenditure The situation deteriorates, the rupee may be weakened further. "

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