January sees foreign deficit up 162% and investments down 44%

The surge in the current account deficit has been generated by massive imports made after the first month of EU integration, while the shrinking of investments has caused difficulties in financing. The current account deficit, which measures the net outflows of foreign currency, stood at 766 million euros in January, as compared with 292 million euros in January 2006, according to data from the National Bank. Foreign investments stood at just 394 million euros, down 44% from January 2006. The foreign currency inflows/outflows ratio in Romania has therefore altered since the beginning of the year, with investments covering only 51% of the foreign deficit, compared with the 240% coverage in the first month of last year.