RAMALLAH, June 19, 2017 (WAFA) – The deficit in the current account (goods, services, income, current transfers) in first quarter 2017 totaled $302.8 million, a decrease of 17.1% compared to the previous quarter, a joint report by the Palestinian Central Bureau of Statistics (PCBS) and the Palestine Monetary Authority (PMA) said on Monday.
This decrease in deficit of the current account was mainly triggered by the decrease in the deficit of the trade balance of goods by 8.2%, which reached $1,034.3 million, as well as the decrease of deficit in services balance by about 9.2%, which amounted to $211.2 million.
This deficit occurred due to increase of the export of construction services in addition to government services and decrease of the import of other business services in addition to government services.
The surplus in income account (compensations of employees and investments income) amounted to $470.3 million, an increase of 15.1% compared to the previous quarter.
This surplus was due to compensations of employees working in Israel, which reached $482.2 million.
As for the received investments income, it amounted to $28 million; and was mainly caused by the income received on the portfolio investments abroad in addition to the interest received on deposits in banks abroad.
The current transfers achieved a surplus value amounting to $472.4 million, a decrease of 19.3% compared to the previous quarter due to the decrease of the transfers to the other sectors.
The transfers to the government sector contributed 33.3% of total transfers from abroad, while the transfers to other sectors (mainly private sector) was 66.7%. The donors’ current transfers constituted 44.8% of total transfers from abroad.
The preliminary results showed a surplus value for the capital and financial account amounting to $176.8 million caused mainly by the surplus in the capital account, which reached $90.6 million, and the surplus in financial account, which amounted to $86.2 million.
There was an increase in the reserve assets at PMA amounting to $108.6 million, compared to a decrease of $22.6 million in the previous quarter.
M.K.
