FX.co ★ India Trade Balance Narrows Slightly

India’s merchandise trade deficit stood at $30.2 billion in September 2026, narrowing slightly from $32.2 billion in the same month a year earlier, as a weaker rupee curtailed the country’s dollar-denominated purchasing power for foreign goods. Exports surged 22% year-on-year to $44.4 billion, marking the highest September level on record. Imports increased by 8.9% to $74.6 billion, remaining below their record peaks despite the sharp rise in oil prices faced by Indian refiners. During the period, the rupee repeatedly tested record lows but avoided a deeper slide, supported by RBI intervention and expectations of an interest rate hike.