The CAD, which is the difference between outflow and inflow of foreign exchange, touched an all-time high of $88.2 billion, or 4.8% of the GDP, in 2012-13.
Earlier, the government had projected the CAD in the current fiscal at $70 billion, which was revised downwards to $60 billion on back of declining gold imports and recovery in exports.
He also said that the rising prices of food items is a cause of worry for government. "CPI inflation is over 10%," he said. "There are no easy answers to that, demand is obviously high.We are trying number of measures to cool inflation," he said.
While addressing industry chambers, Chidambaram asked service tax defaulters to take advantage of the amnesty scheme.
"We only want to collect the tax. By giving up interest, government is actually giving up legitimate revenue. I don't think there could be more generous offer," he said while elaborating on the Voluntary Compliance Encouragement Scheme (VCES).