Document title: Developments in India's Balance of Payments for the Month of September 2026
Issuing authority: Reserve Bank of India (RBI)
Date: 13 November 2026
External Sector and Currency
The preliminary balance of payments data show that the current account (net) recorded a deficit of US$7.4 billion in September 2026, compared with a deficit of US$5.2 billion in September 2025. Merchandise trade (net) posted a deficit of US$30.0 billion, narrowing from US$33.4 billion a year earlier. Exports of goods rose to US$45.3 billion from US$36.4 billion, while imports increased to US$75.3 billion from US$69.8 billion. Services (net) posted a small surplus of US$19.2 billion, up marginally from US$18.8 billion, with services exports at US$39.3 billion and imports at US$20.1 billion. Transfers (net) fell slightly to US$10.9 billion from US$11.5 billion, and income (net) widened to a deficit of US$7.6 billion from US$2.2 billion.
Capital Markets and Flows
The capital account turned positive, recording a net inflow of US$16.2 billion in September 2026, a sharp reversal from a net outflow of US$0.4 billion in September 2025. Foreign direct investment (FDI) net outflow widened to US$4.9 billion from US$2.3 billion, with FDI in India turning negative at US$0.5 billion. Foreign portfolio investment (FPI) net outflow deepened to US$6.7 billion from US$0.6 billion, driven by a US$6.5 billion outflow from India. External commercial borrowings (ECBs) showed a net inflow of US$4.5 billion, up from US$0.6 billion, while short‑term credit to India increased to US$1.6 billion. Banking capital saw a substantial rise, with a net inflow of US$22.2 billion, up from US$0.7 billion a year earlier. NRI deposits contributed a net inflow of US$3.7 billion, compared with US$0.4 billion previously. Other capital moved to a modest net outflow of US$0.6 billion.
Overall Balance
Combining current and capital accounts, the overall balance shifted to a surplus of US$8.8 billion in September 2026, contrasting with a deficit of US$5.6 billion in September 2025. Monetary movements reflected this change, showing a decrease of US$8.8 billion versus an increase of US$5.6 billion a year earlier.
The data indicate a marked improvement in the external sector, with a reversal from overall deficit to surplus, driven primarily by strong capital inflows, especially in banking capital and NRI deposits, while the current account deficit remains elevated but narrowed relative to the prior year.