Current account surplus amounted to €260 billion, or 1.8 per cent of euro area gross domestic product (GDP) last year after a €82-billion deficit, or 0.6 per cent of euro area GDP, in 2022. This was mainly driven by a switch from a €81-billion deficit to a €274-billion surplus for goods, according to a release from the European Central Bank (ECB).

In direct investment, euro area residents made net disinvestments of €157 billion in non-euro area assets in 2023, up from net disinvestments of €12 billion in 2022. Non-residents disinvested €208 billion in net terms from euro area assets in 2023, down from net disinvestments of €313 billion in 2022.

In portfolio investment, euro area residents’ net purchases of non-euro area equity reached €8 billion last year, following net sales of €186 billion in 2022.

Net purchases of non-euro area debt securities by euro-area residents last year amounted to €368 billion, following net sales of €42 billion in 2022.

Non-residents’ net purchases of euro area equity increased to €100 billion in 2023, up from €34 billion in 2022. In 2023, non-residents made net purchases of euro area debt securities amounting to €322 billion, up from €23 billion in 2022.

Fibre2Fashion News Desk (DS)