As such, recent trends in trade flows and the balance of payments suggest that the current account deficit for this fiscal year will likely reach a record of about 5% of GDP before narrowing closer to 4% next year.

FORBES: Oil Finally Helps India's Trade Deficit

Beyond mid-year, we expect a steady decline of the trade balance to reduce the current account.

FORBES: Thanks to Oil, Russia's Trade Surplus Continues

Since the current-account balance equals the net saving of the private and public sectors, a budget deficit boosts the external deficit.

ECONOMIST: America's current-account deficit

IMF, and Maurice Obstfeld, an economist at the University of California at Berkeley, reckon it will take a fall of closer to 35% to get the current account back into balance.

ECONOMIST: Why America's deficit is hard to turn around

The current account is in surplus, but at some point a falling trade balance could send the current account into deficit, creating huge dangers and risk of macro financial market disruption.

FORBES: Mounting Japan Trade Deficits Raise Urgency of TPP, Japan-China-Korea, and Asean+6 Trade Talks

Indeed, a report by Dresdner Kleinwort Benson finds that the euro area displays an extraordinary degree of balance at present: all three sectors the government, the private sector and the current account are in broad financial balance (see chart).

ECONOMIST: Rainy-day blues

Russia still had a current-account surplus last year, but if oil prices continue their recent decline, the balance of payments will soon look less healthy and the need for foreign investment may become more urgent.

ECONOMIST: Business in Russia

However, imports of gold as well as petroleum -- the items largely responsible for India's unfavorable current account balance -- remained high during February.

WSJ: India Exports Rise 4.25%

Within Britain's balance of payments, the US is Britain's most important trading and investment partner, accounting for 18% of current account credits and 14% of debits in 2011.

BBC: Does US election matter to us?