- Current account deficit increased to €6 billion in April 2022, up from €2 billion in previous month
- Current account surplus amounted to €182 billion (1.5% of euro area GDP) in 12 months to April 2022, down from €316 billion (2.7%) one year earlier
- In financial account, euro area residents’ net acquisitions of non-euro area portfolio investment securities totalled €348 billion and non-residents’ net acquisitions of euro area portfolio investment securities totalled €84 billion in 12 months to April 2022
The current account of the euro area recorded a deficit of €6 billion in April 2022, following a deficit of €2 billion in the previous month (Chart 1 and Table 1). Deficits were recorded for secondary income (€14 billion), goods (€3 billion) and primary income (€1 billion). These were partly offset by a surplus for services (€12 billion).
Dataforthecurrentaccountoftheeuroarea
In the 12 months to April 2022, the current account recorded a surplus of €182 billion (1.5% of euro area GDP), compared with a surplus of €316 billion (2.7% of euro area GDP) in the 12 months to April 2021. This decline was driven by a reduction in the surplus for goods (down from €371 billion to €167 billion). This development was partly offset by larger surpluses for services (up from €74 billion to €120 billion) and primary income (up from €39 billion to €48 billion) and a smaller deficit for secondary income (down from €168 billion to €153 billion).
In direct investment, euro area residents made net investments of €133 billion in non-euro area assets in the 12-month period to April 2022, following net investments of €179 billion in the 12 months to April 2021 (Chart 2 and Table 2). At the same time, non-residents disinvested €108 billion in net terms from euro area assets in the 12-month period to April 2022, following net acquisitions of €200 billion in the 12 months to April 2021.
In portfolio investment, euro area residents’ net purchases of non-euro area equity decreased to €106 billion in the 12 months to April 2022, down from €540 billion in the 12 months to April 2021. Over the same period, net purchases of non-euro area debt securities by euro area residents decreased to €242 billion, from €452 billion in the 12 months to April 2021. Non-residents’ net purchases of euro area equity decreased to €309 billion in the 12-month period to April 2022, down from € 344 billion in the 12 months to April 2021. Over the same period non-residents made net sales of euro area debt securities amounting to €225 billion, following net sales of €42 billion in the 12 months to April 2021.
Dataforthefinancialaccountoftheeuroarea
In other investment, euro area residents recorded net acquisitions of non-euro area assets amounting to €191 billion in the 12 months to April 2022 (following net disposals of €115 billion in the 12 months to April 2021), while their net incurrence of liabilities increased to €738 billion (up from €202 billion in the 12 months to April 2021).
The monetary presentation of the balance of payments (Chart 3) shows that the net external assets (enhanced) of euro area MFIs decreased by €270 billion in the 12-month period to April 2022. This decrease was mainly driven by euro area non-MFIs’ net outflows in portfolio investment debt and direct investment. These developments were partly offset by the current and capital accounts surplus and by euro area non-MFIs’ net inflows in portfolio investment equity and other investment.
In April 2022 the Eurosystem’s stock of reserve assets increased to €1144.2 billion, up from €1102.8 billion in the previous month (Table 3). This increase was driven by positive price changes (€26.6 billion, mainly due to a €27.4 billion price increase for monetary gold) and exchange rate changes (€15.7 billion).
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