Home Local 29/June/2022 09:04 AM

The deficit in trade balance of goods is the main reason behind the $623m deficit in current account for 1st quarter

RAMALLAH, Wednesday, June 29, 2022 (WAFA) – The deficit in the current account (goods, services, income, current transfers) totaled $623 million in the first quarter of this year triggered mainly by the deficit of the trade balance of goods, which reached $1,810 million, as well as the deficit in the services balance, which amounted to $347 million, today said a joint report by the Palestinian Central Bureau of Statistics (PCBS) and the Palestine Monetary Authority (PMA) announcing the preliminary results of the Palestinian balance of payments.

The surplus in the income account (compensations of employees and investments income) amounted to $987 million. This surplus was due to compensations of the employees working in Israel, which reached $952 million. As for the received investments income, it amounted to $69 million; and was mainly caused by the income received on the portfolio investments abroad, in addition to the interest received on the Palestinian deposits in banks abroad.

The current transfers achieved a surplus value amounting to $547 million, a decrease of 23% compared to the previous quarter. The current transfers for the government sector constituted 14% of the total transfers from abroad, while the percentage of the transfers to other sectors reached 86%. The donors’ current transfers constituted 9% of total transfers from abroad.

The preliminary results of the Palestinian Balance of Payments showed a surplus value for the capital and financial account amounting to $514 million, mainly caused by the surplus in the financial account, which amounted to $411 million. There was a decrease in the reserve assets at the PMA amounting to $9 million, compared to an increase of $79 million in the previous quarter.


Related News

Read More