CEA Nageswaran flags West Asia crisis as stress test for India current account and currency stability

What could shift first in CAD inflation and FX

CEA Nageswaran says the West Asia crisis should be treated as a balance of payments stress test for India. He links FY27 priorities to keeping the current account healthy, securing financing, and curbing currency depreciation—because pressures from external shocks can quickly feed into CAD, inflation and exchange rates. A separate push to settle payments to micro and small firms also supports working capital.