The government has decided to cut non-essential imports and increase exports amid a widening current account deficit (CAD), sliding rupee and soaring crude oil prices, Finance Minister Arun Jaitley said on Friday. The government, in a meeting chaired by Prime Minister Narendra Modi, also decided to remove restrictions on external commercial borrowings and masala bonds to control the current account deficit, which slipped for the first time in six quarters in April-June. Masala bonds are rupee-denominated instruments through which Indian entities can raise funds by accessing overseas capital markets.
