Current account deficit slows down

The rate of growth in the current account deficit slowed in September due to a significant increase in current transfers, which compensated almost entirely for the widening of the trade deficit. The National Bank of Romania (NBR) said the current account deficit increased by around 180 million euros since late August to a total of 2.28bn euros. The balance of payments deficit for the first eight months of the year was 46.4% higher than for the corresponding period in 2003. However, after nine months, the deficit increase on the same period in 2003 was down to 38.12%. The trade deficit rose to 3.34bn euros in the first nine months, compared with 2.92bn euros for January to August. At the same time, current transfers went up from 1.35bn euros to 1.647bn euros. Foreign medium and long-term debt was 11.8% higher by the end of September compared with at the end of last year at 17.52bn euros. Of this, foreign public and publicly secured debt amounted to 10.26bn euros. ZF