Romania’s current account deficit went over the EUR 1 billion mark in the first eleven months of 2015, and was more than double compared to the same period of 2014, when the deficit was EUR 440 million.

The current account deficit, which reflect the difference between the money that enter the country and the money that get out of the country, was negatively impacted by the rise in imports and the higher sums that the foreign companies took out from Romania, data released by Romania’s National Bank (BNR) shows.

The deficit in the trading of goods went up by EUR 912 million in the first eleven months of 2015 compared to the same period of 2014, which was only partially compensated by a higher surplus on the services side, by some EUR 823 million.

The primary income balance, which covers the money transfers in and out of the country related to cross border labor and investment income, had a deficit of EUR 3.32 billion in the first 11 months, up from under EUR 2 billion in the same period of 2014, as the outflows increased significantly. This mainly reflects higher money repatriations by multinationals and portfolio investors in Romania.

The secondary income balance, which reflects personal transfers as well as the public administration’s money transfers in and out of the country, showed a EUR 842 million higher surplus, as the inflows went up.

editor@romania-insider.com