RBI Governor, Raghuram Rajan, today said that significant progress has been made in curbing the current account deficit.
He said that CAD will come down to $56 billion this fiscal lower than the Government estimate of $70 billion and $88 billion last year.
Majority of oil company demand for dollar is back in market, he said.
The Reserve Bank of India said that good monsoon, healthy exports and power sector growth will lead to higher economic growth rate in the second half.
Rajan said that RBI will pump in Rs 8,000 crore in the market through OMO next Monday to ease liquidity.