BALANCE OF PAYMENTS (Q4 2023)

For the fourth quarter of 2023, the overall balance of payments registered a current account surplus of US$34.84 billion, a net asset increase of US$28.49 billion on the financial account, and an increase of US$3.39 billion in the Bank's reserve assets. 

 

I. Current Account

The current account surplus increased by US$11.74 billion over the same quarter of the previous year. 

1. The goods trade surplus widened by US$15.42 billion year on year to US$30.83 billion. Exports resumed positive growth thanks to robust business performance in AI and other emerging technology applications as well as a lower base effect. Imports decreased as firms curtailed spending on semiconductor equipment.  

2. The services account recorded a deficit of US$1.63 billion compared to the US$0.64 billion surplus recorded a year ago mainly owing to an increase in travel expenditures and a decrease in freight proceeds. 

3. Primary income surplus shrank by US$1.15 billion year on year to US$6.95 billion, mainly because of a decrease in residents' income from outward direct investment. 

4. The secondary income deficit widened by US$0.27 billion to US$1.32 billion, mainly reflecting an increase in workers' outward remittances.   

 

II. Financial Account

1. The direct investment account registered a net asset increase of US$9.07 billion. Of the components, outward direct investment by residents and inward direct investment by nonresidents recorded net increases of US$10.00 billion and US$0.94 billion, respectively. 

2. The portfolio investment account posted a net asset decrease of US$3.72 billion. Of the components, residents' portfolio investment abroad showed a net increase of US$8.55 billion, mainly attributable to a rise in overseas debt securities holdings by the private sector. Nonresidents' portfolio investment recorded a net increase of US$12.27 billion mainly because foreign investors raised Taiwanese share holdings.

3. The financial derivatives account recorded a net asset decrease of US$0.33 billion, mainly reflecting a decrease in assets as other financial institutions received gains from disposal of financial derivatives. 

4. The account of other investment posted a net asset increase of US$23.48 billion, mainly owing to a rise in banks' deposits with overseas branches and other banks. 

 

III. Overview of BOP for the year 2023 

For the entire year of 2023, the overall balance of payments recorded a current account surplus of US$105.33 billion, a net asset increase of US$84.95 billion on the financial account, and an increase of US$14.34 billion in the Bank's reserve assets. 

 

Notes: 1. The next balance of payments data will be released at 16:20 on May 20, 2024. 

            2. For the release schedule for the coming months, please refer to the Advance Release Calendar.