FX.co ★ India Trade Gap Larger Than Anticipated

India’s trade deficit widened to $31.98 billion in July 2026, up from $27.5 billion in the same month a year earlier and above market expectations of $30.2 billion. This marked the largest trade gap since January, driven by an 18% year-on-year surge in imports to a record $76.2 billion, reflecting higher oil, fuel, and coal prices amid escalating tensions in the Middle East. Exports also grew strongly, rising 19.2% to $44.2 billion.