RSS
Eurostat: Romania had the third largest current account deficit in the EU in the second quarter of 2020
The EU member states with the highest current account deficits were France (14.3 billion euros), Greece (3.5 billion euros) and Romania (three billion euros), according to data released Monday by the European Statistical Office (Eurostat).
In the second quarter of 2020, marked severely by COVID-19 containment measures in the Member States, the EU seasonally adjusted current account of the balance of payments recorded a surplus of €82.9 billion (2.7% of GDP), up from a surplus of €52.9 billion (1.5% of GDP) in the first quarter of 2020 and from a surplus of €72.7 billion (2.1% of GDP) in the second quarter of 2019, according to estimates released by Eurostat, the statistical office of the European Union. In the second quarter of 2020 compared with the first quarter of 2020, based on seasonally adjusted data, the surplus of the goods account decreased (+€48.9 bn compared to +€83.5 bn). The deficit of the services account moved to surplus (+€24.8 bn compared to -€5.8 bn), as did the deficit of the primary income account (+€24.8 bn compared to -€10.1 bn), while the deficit of the secondary income account grew (-€15.5 bn compared to -€14.7 bn). The deficit of the capital account increased (-€8.6 bn compared to -€4.1 bn).
Main partners
In the second quarter of 2020, based on non-seasonally adjusted data, the EU recorded external current account surpluses with the United Kingdom (+€35.6 bn), the USA (+€15.8 bn), Switzerland (+€15.5 bn), Russia (+€6.7 bn), Canada (+€6.2 bn), Hong Kong (+€4.4 bn) and Brazil (+€3.5 bn). Deficits were registered with China (-€29.0 bn), offshore financial centres (-€9.5 bn), Japan (-€0.5 bn) and India (-€0.2 bn).
Financial account
Based on non-seasonally adjusted data, direct investment assets of the EU increased in the second quarter of 2020 by €27.6 bn, while direct investment liabilities grew by €176.0 bn. As a result, the EU was a net recipient of direct investment from rest of the world in the second quarter of 2020 by €148.3 bn. Portfolio investment recorded a net outflow of €159.9 bn, while for other investment there was a net inflow of €181.5 bn.
Current account of Member States (including intra-EU flows)
As concerns the total (intra-EU plus extra-EU) current account balances of the EU Member States, based on available non-seasonally adjusted data, fifteen recorded surpluses, ten deficits and two were in balance in the first quarter of 2020. The highest surpluses were observed in Germany (+€36.3 bn), the Netherlands (+€12.6 bn), Ireland (+€11.7 bn), Poland (+€6.6 bn), Denmark and Sweden (both +€5.9 bn), and the largest deficits in France (-€14.3 bn), Greece (-€3.5 bn) and Romania (-€3.0 bn).