In the January-October 2021 period, the current account deficit recorded a decrease of 2.7 billion euros year-on-year and stood at 6.4 billion euros, according to the Bank of Greece.
A rise in the services surplus is primarily due to an improvement in the travel services balance, the bank said. However, this was partly offset by a decline in the surplus of the transport balance. Non-residents’ arrivals grew by 93.8 pct and relevant receipts by 142.0 pct year-on-year, accounting for 46 pct and 58 pct of the respective levels in 2019. Net transport receipts dropped by 9.7 pct.
A rise in the deficit of the balance of goods is due to the fact that imports increased more than exports in absolute terms. In more detail, exports grew by 34.0 pct and 13.5 pct at current and constant prices, respectively, while imports rose by 32.1 pct at current prices and by 10.9 pct at constant prices, respectively. Specifically, non-oil exports and imports of goods grew at almost the same rate (25.7 pct and 25.6 pct, respectively) at current prices, while at constant prices they increased by 20.0 pct and 23.0 pct, respectively.
In October 2021, the deficit of the combined current and capital account (corresponding to the economy’s external financing requirements) increased against October 2020 and stood at 884 million euros. In the January-October 2021 period, the deficit of the combined current and capital account decreased year-on-year, from 7.3 billion euros to 3.3 billion euros.