Economists have revised their estimates for India’s current account deficit (CAD) for FY2024 after it narrowed to 1.1 per cent of the gross domestic product (GDP) in April-June quarter of the current fiscal year from 2.1 per cent in the year-ago quarter, but widened sequentially from 0.2 per cent registered in the fourth quarter of last fiscal, according to the data released by the RBI. “We expect tailwinds to BOP to have peaked in Q1FY24 and the remainder of FY2024 to be clouded with uncertainties, amid 1) rising crude oil prices and 2) weak capital flows. Following a robust 1QFY24, we expect the capital account to moderate to $23 billion in July 2023-March 2024, taking the FY2024 capital account to $55 billion. We revise up our FY2024 CAD/GDP estimate to 1.5 per cent ($54 billion; 1.4 per cent earlier), with the July 2023-March 2024 CAD/GDP estimate at 1.6 per cent,” said Upasna Bhardwaj, Chief Economist, Kotak Mahindra Bank.