India’s exports jump 25.4% in August, narrowing overall trade deficit to $9.41bn
India's overall trade deficit narrowed to $9.41 billion in August 2026 as exports grew by 25.4% year-on-year. While merchandise and services exports saw strong growth, the trade balance was supported by a significant decline in gold imports.
Why it matters
The data indicates a strengthening of India's external trade position, which is a critical indicator for the country's macroeconomic stability and currency valuation.
India’s overall trade deficit narrowed to $9.41 billion in August 2026 from $11.62 billion in the same month last year, as exports grew at a faster pace than imports, according to official trade data released on Tuesday.Overall exports, including merchandise and services, rose 25.41% year-on-year to an estimated $82.68 billion in August, compared with $65.93 billion in August 2025.Imports increased to $92.09 billion from $77.55 billion during the same period.Commerce secretary Rajesh Agrawal said the export growth momentum had accelerated further in August. “The export growth momentum accelerated further in August,” he said.Merchandise exports rise 26.12%Merchandise exports increased 26.12% in dollar terms to $43.81 billion in August, up from $34.74 billion a year earlier.
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