India’s services exports grew 13.7% in August; imports rose faster at 21.4%: RBI
India's services exports grew 13.7% to $35.47 billion in August, but imports surged by 21.4%, according to the latest RBI data.
India's services sector continues to show robust momentum on a yearly basis, though rising import costs are narrowing the trade gap. According to the latest data released by the Reserve Bank of India (RBI) on Wednesday, India services exports growth reached 13.7 per cent year-on-year in August 2026, hitting a total of USD 35.47 billion.
While the surge in exports signals strong overseas demand for Indian services, the data also highlights a significant uptick in outward payments. Services imports grew at a much faster rate of 21.4 per cent, totaling USD 18.93 billion for the month.
Services Trade Surplus Narrows
Despite the rapid expansion in imports, India has managed to maintain a sizeable surplus in its services trade. However, the scale of this surplus saw a slight contraction compared to the previous month. In August, the services trade surplus stood at approximately USD 16.54 billion, down from the USD 17.65 billion recorded in July.
The monthly trend also showed a slight dip in total volumes compared to the previous month. On a month-on-month basis, services exports decreased from USD 38.25 billion in July, while imports fell from USD 20.61 billion during the same period.
Comparative Trends and Historical Data
Looking at the broader picture, the year-on-year growth rates for both sectors have shown shifts. In July, exports and imports had grown by 13.4 per cent and 19.1 per cent, respectively, compared to the previous year. The August figures suggest that while the demand for Indian services remains strong, the cost of imported services is expanding at an even sharper pace.
A review of the first quarter of the financial year provides further context for these movements:
- April: Exports stood at USD 36.85 billion; Imports were USD 18.45 billion.
- May: Exports stood at USD 33.20 billion; Imports were USD 17.67 billion.
- June: Exports stood at USD 36.20 billion; Imports were USD 18.51 billion.
The RBI noted that the figures for July and August are provisional. Meanwhile, the data for the April to June period has been revised on a pro-rata basis using balance of payments statistics for the first quarter of 2026-27. The central bank's monthly release tracks the essential receipts from exports and payments for imports that define India's international services trade.