Gold imports shoot up by 61% in April-May 2015
Q. By what percent India's gold imports shot up in the April-May’15 of the current fiscal due to weak prices globally and the easing of restrictions by the Reserve Bank?- Published on 27 Aug 15a. 32%
b. 51%
c. 61%
d. 78%
ANSWER: 61%
India is the largest importer of gold, which mainly caters to the demand of the jewellery industry. Large imports of gold impact the country's current account deficit, which occurs when value of import of goods and services is more than its exports. The CAD in 2014-15 shrank to 1.3 per cent of GDP (USD 27.5 billion) from 1.7 per cent (USD 32.4 billion) in 2013-14. The Reserve Bank and the government have maintained that the CAD level is comfortable. In 2014-15, India imported 915.54 tonnes of gold as against 661.71 tonnes in the previous financial year.
