Romania's Current Account Deficit Shrinks To EUR44M In Jan-Feb

04.13.2011 ZF English

Romania's current account deficit narrowed to EUR44 million in January to February, from a gap of EUR747 million in the year-earlier period, on a much lower trade deficit, central bank data showed Wednesday.

Romania's current account deficit narrowed to EUR44 million in January to February, from a gap of EUR747 million in the year-earlier period, on a much lower trade deficit, central bank data showed Wednesday.

The trade balance posted a deficit of just EUR5 million, from EUR662 million in January-February 2010. Moreover, the current transfers surplus rose to EUR534 million in the first two months from EUR333 million in the same period a year earlier.

Foreign direct investments, which stood at EUR294 million, entirely covered the country's current account deficit in January to February.

Romania's total external debt reached EUR91.8 billion at the end of February, up from EUR90.8 billion in December 2010, according to central bank data.

The medium and long-term debt stood at EUR72.9 billion, from EUR72.1 billion at the end of 2010. The short-term debt was at EUR18.9 billion, from EUR18.7 billion in December last year.

Romania's current account deficit widened 5% to EUR5.16 billion in 2010, from a gap of EUR4.91 billion in the previous year, due to the lower current transfers surplus and an increasing deficit of the incomes balance.