Current account deficit up by 63.11pc
Non-residents’ direct investment in Romania totalled EUR 2,369 million (compared with EUR 2,862 million in January – July 2016), of which equity (including estimated net reinvestment of earnings) amounted to EUR 2,436 million and intercompany lending recorded a net negative value of EUR 67 million (lower by 17.22%), the National Bank of Romania (BNR) informs.
In January – July 2017, total external debt increased by EUR 2,055 million, of which:
Long-term external debt at end-July 2017 stood at EUR 69,512 million (73.6 percent of total external debt), up 0.8 percent from end-2016;
Short-term external debt at end-July 2017 amounted to EUR 24,920 million (26.4 percent of total external debt), up 6.5 percent against end-2016.
Long-term external debt service ratio ran at 20.9 percent in January – July 2017 against 27.4 percent in 2016. At end-July 2017, goods and services import cover stood at 5.8 months, as compared to 6.3 months at end-2016.
At end-July 2017, the ratio of the National Bank of Romania’s foreign exchange reserves to short-term external debt by remaining maturity came in at 85.3 percent, against 90.1 percent at end-2016.
In January – July 2017, the balance-of-payments current account posted a deficit of EUR 3,631 million, compared with EUR 2,226 million in January – July 2016 (up by 63.11%); the deficit on trade in goods widened by EUR 1,392 million, the surplus on services increased by EUR 32 million, the primary income deficit narrowed by EUR 211 million, while the surplus on secondary income contracted by EUR 256 million, the BNR informs in a release./IBNA