The deficit in the current account reached $775 million in the second quarter, say PMA, PCBS

RAMALLAH, The preliminary results of the Palestinian Balance of Payments for the second quarter of 2022 showed an incessant deficit in the current account (goods, services, income, current transfers) totaling $775 million, according to a joint report by the Palestine Monetary Authority (PMA) and the Palestinian Central Bureau of Statistics (PCBS).

The deficit was triggered by the deficit of the trade balance of goods, which reached $1,936 million, as well as the deficit in the services balance, which amounted to $380 million.

The surplus in the income account (compensations of employees and investments income) amounted to $953 million.  This surplus was due to compensations of the employees working in Israel, which reached $917 million.

As for the received investments income, it amounted to $67 million; and was mainly caused by the income received on the portfolio investments abroad, in addition to the interest received on the Palestinian deposits in banks abroad.

The current transfers achieved a surplus value amounting to $588 million. The current transfers for the government sector constituted 17% of the total transfers from abroad, while the percentage of the transfers to other sectors reached 83%. The donors’ current transfers constituted 13% of total transfers from abroad.

The preliminary results showed a surplus value for the capital and financial account amounting to $1 billion, the surplus in the capital and financial account was mainly caused by the surplus in the financial account which amounted to $901 million. There was a decrease in the reserve assets at PMA amounted to $34 million, compared to a decrease of $9 million in the previous quarter.

 

Source: Palestine News & Info Agency