Our current account deficit, both in absolute terms and as a proportion of GDP, is expected to be wider this year than it was last year. To that extent, we can absorb larger capital flows. Nevertheless, we have concerns about the deficit being financed by volatile capital flows.
Should capital flows exceed our ability to absorb by a wide margin, we will calibrate our capital control instruments to manage the flows just as we did in the past. BIS Review 159/2010  1  Our infrastructure investment needs are huge. Foreign investment certainly helps.