Kolkata: At a time when the economy is increasingly coming under the stress of a India’s export sector has registered a rise of 13.78% in this month, Union commerce minister Piyush Goyal has announced.
According to him, the growth trajectory witnessed in April has continued this month too, when the value of the rupee against the US dollar fell further. Exports, foreign investment and domestic production are three parameters that are growing, the government has highlighted. Goyal stated that a significant increase in exports was recorded during the first three weeks of May. In April, India’s exports had already risen by 13.78% to reach $43.56 billion. This figure was recognised as the highest monthly export level recorded in the last four years. Demand for petroleum products and rising crude oil prices played a pivotal role in this achievement.
Trade deficit widened
Unfortunately, the exports could not result in a narrowing of the trade deficit and alongside the surge in exports, an increase in imports was also recorded. Consequently, the trade deficit widened to $28.38 billion, which is a three-month high. Experts attribute this primarily to a surge in the imports of crude oil and other essential commodities. The government believes that this rise in imports is driven by robust domestic demand and heightened industrial activity. In the coming months, the prevailing conditions in the global market are expected to impact both exports and imports. This is precisely the reason why Prime Minister ruged the people of the country to curb consumption of petrol, diesel, gold, edible oils and fertilisers. These items have to be imported in India in huge quantities which is draining forex resources big time and is creating a continuous downward pressure on the vaoue of the Indian currency.
New record in FDI in FY95
According to the government, FDI or Foreign Direct Investment in India reached a record high of $95 billion during the financial year 2025-26. This represents a 17% increase compared to the previous year. Piyush Goyal stated that investor confidence in India continues to strengthen among global investors. For investors, India has now emerged as a reliable and rapidly growing economy. The government asserts that this growth trajectory is set to continue in the years ahead.