"The most vulnerable countries are those with sizeable current account deficits, and India falls into this category as it has one of the largest for a big economy. Its current account deficit hit a record high of 6.7% of GDP last year. For the full fiscal year that ended on 31 March, the current account deficit was nearly 5% of GDP. To give a sense as to the magnitude, the IMF in its monitoring role of global macroeconomic imbalances raises alarm bells when a current account deficit reaches 6% of GDP. Making things even harder, it has a sizeable fiscal deficit, which has recently come down to 5% of GDP, as well as high rates of inflation. Both are reasons why foreign investors would want to leave. Economic growth has also dropped to 5%, the slowest pace in a decade, down from the heights of 9% reached during the mid-2000s, and back to the 4-5% rate that characterised the slow pace of growth before the 1980 reforms."

http://www.bbc.co.uk/news/business-23612146