Modi govt announces five-point plan to control current account deficit

Move to have $8-10 bn impact, says DEA secy; non-essential imports to be reduced; more initiatives soon

A high-level meeting chaired by Prime Minister Narendra Modi on Friday decided to curb non-essential imports and increase exports, besides announcing five-pronged measures to increase dollar inflows into the country to fund and reduce the current account deficit (CAD).

The CAD rose to 2.4 per cent of the country's gross domestic product (GDP) in the first quarter of 2018-19 from 1.9 per cent in the fourth quarter of 2017-18. 

These measures will increase dollar inflows by up to $10 billion in the country. 

The government decided to cut non-essential imports and increase exports, Finance Minister Arun Jaitley told reporters after