RAMALLAH, March 28, 2012 (WAFA) – Balance of payment deficit for the Palestinian Territory increased by 29.9% in fourth quarter 2011 compared to the previous quarter, a joint Palestinian Central Bureau of Statistics (PCBS) and Palestine Monetary Authority (PMA) report said Wednesday.

The report on the main findings of the preliminary results of balance of payment for the Palestinian Territory for the fourth quarter said the deficit value of the current account amounted to $378.8 million, 14.6% of the GDP in current prices for the fourth quarter, a decrease by 29.9% compared to the previous quarter.

The deficit of current account was caused mainly by the deficit in the trade balance of goods, which was $855.8 million, 33.0% of the GDP in current prices, a decrease by 15.5 % compared to the previous quarter.

The deficit in services balance amounted to $71.8 million, a decrease by 19.2% compared to the previous quarter, said the PCBS.

The surplus value of capital and financial account amounted to $257.8 million, mainly caused by the surplus in the capital account (direct investments, portfolio investments, other investments, and reserve assets).

The changes on reserve assets flow increased to reach the amount of $110.4 million in PMA, which are reflected in the overall balance surplus in the Palestinian case due to the absence of other financing resources.

T.R./M.S.