Expressing concern over high current account deficit (CAD), President Pranab Mukherjee on Thursday said exports need to be increased to bring down the deficit to sustainable levels.
"A matter of concern is the current account deficit, which at 5.4% of GDP during the period April to December, 2012, is very high. Though we have managed this deficit through capital flows, we have to increase our exports to bring it to a sustainable level," Mukherjee said at the function organised by Indian Institute of Foreign Trade (IIFT).
The CAD occurs when a country's total imports of goods, services and transfers are more than total exports of goods, services and transfers.
Moreover, he was optimistic on India's economic growth and expressed confidence that India will bounce back to the high growth trajectory.
"The GDP growth in 2012-13 has been estimated at a muted 5% but I am confident that we will bounce back," he said.