Balance of Payments of the Republic of Lithuania November 2019 noted Current account surplus decreased
Today, the Bank of Lithuania published the balance of payments for November 2019, which shows that:
the current account balance (CAB) surplus contracted by more than 2 times, to €222.9 million. This was a result of the negative primary income and lower foreign trade balances (see Chart 1). The negative primary income balance formed due to the especially reduced flow of European Union (EU) subsidies to Lithuania. With export and import of goods dropping by 7.2% and 7.1% respectively, the deficit on the trade balance decreased 5.5%, to stand at €94.3 million. The balance of services increased by 4.2%, to stand at €317.5 million;
the surplus on the secondary income balance increased by 8.3% over the month. Transfers from EU support funds decreased by 28.6%, to stand at €30.2 million. Lithuania’s calculated contributions to the EU budget decreased by 2.7 times to amount to €11.6 million. Private individual remittances from abroad amounted to €91.7 million, narrowing by 2.2% on a month on month basis. Private individual remittances from Lithuania amounted to €33.6 million, a month-on-month decrease of 4.0%;
the positive net investment flow of the financial account (€437.7 million) was due to the positive other investment flows (see Chart 2).
Chart 1. CAB and its composite flows
Chart 2. Net financial account investment flows