Current account deficit up 63% in Romania in seven months

Romania’s current account on the balance of payments recorded a deficit of EUR 3.63 billion in the first seven months of this year, up 63% over the same period last year, according to data from Romania’s National Bank (BNR). The balance of goods, which is part of the current account on the balance of payments, widened its deficit by EUR 1.39 billion in the first seven months of this year. Meanwhile, the service balance only increased its surplus by EUR 32 million during this period. The primary income balance, which mainly includes dividends repatriated by foreign investors and those received by Romanian investors from abroad, reduced its deficit by EUR 211 million at the end of July. The secondary income balance, including the European funds received by Romania and personal transfers made by Romanians living abroad, reduced its surplus by EUR 256 million after the first seven months of this year. The total external debt rose by over EUR 2 billion between January and July. In 2016, Romania saw its current account deficit more than double compared to the previous year, reaching EUR 4.1 billion. editor@romania-insider.com