New Delhi, March 19 -- Despite improvements in the current account deficit, muted net foreign direct investment (FDI) and continued outflow of foreign portfolio investment (FPI) suggest that the overall balance of payments (BoP) will continue to face pressure, said a report by ICICI Bank Global Markets.

Highlighting the impact of FDI and FPI, the report said, the capital account outlook remains subdued due to lower FDI and continued FPI outflows.

Net FDI inflows were just USD 1.2 billion in Apr-Dec 2024, compared to USD 7.8 billion last year, and net FPI outflows stood at USD 2.0 billion.

However, the report added that the outlook for the Indian Rupee (INR) has improved, with appreciation seen in the currencies of India's trading partn...