BALANCE OF PAYMENTS (Q2 2024)
Central Bank of the Republic of China (Taiwan)
PRESS RELEASE Release Date: August 20, 2024
BALANCE OF PAYMENTS (Q2 2024)
For the second quarter of 2024, the overall balance of payments posted a current account surplus of US$21.82 billion, a net asset increase of US$14.57 billion on the financial account, and an increase of US$5.46 billion in the Bank's reserve assets.
I.Current Account
The current account surplus decreased by US$1.46 billion over the same quarter of the previous year.
- The goods trade surplus fell by US$1.22 billion year on year to US$20.82 billion. The functioning of industrial specialization of AI supply chains and rising export-derived demand pushed up imports of integrated circuits and ICT (information, communication, and technology) products. Overall, imports increased more than exports.
- The services account deficit widened from US$2.29 billion a year ago to US$4.06 billion mainly because of an increase in travel expenditures.
- Primary income surplus expanded by US$1.40 billion year on year to US$6.16 billion, mainly reflecting an increase in residents' income from outward direct investment and a decrease in outward payments for nonresidents' portfolio investment income.
- The secondary income account deficit narrowed by US$0.14 billion year on year to US$1.10 billion, mainly attributable to a decrease in outward remittances by residents to supplement family overseas.
II.Financial Account
- The direct investment account registered a net asset increase of US$6.54 billion. Of the components, outward direct investment by residents and inward direct investment by nonresidents posted net increases of US$10.70 billion and US$4.16 billion, respectively.
- The portfolio investment account recorded a net asset increase of US$13.06 billion. Of the components, residents' portfolio investment abroad registered a net increase of US$16.05 billion, mainly because of a rise in residents' holdings of overseas debt securities. Nonresidents' portfolio investment posted a net increase of US$2.99 billion, mainly attributable to an increase in Taiwanese equity holdings by foreign investors.
- The financial derivatives account exhibited a net asset increase of US$0.27 billion, mainly reflecting a decrease in liabilities as other financial institutions paid for losses from disposal of financial derivatives.
- The account of other investment registered a net asset decrease of US$5.30 billion, mainly owing to a decrease in banks' deposits with overseas branches.
III.BOP Summary (Q1-Q2, 2024)
For the first two quarters of 2024, the overall balance of payments recorded a current account surplus of US$51.49 billion, a net asset increase of US$43.59 billion on the financial account, and an increase of US$5.13 billion in the Bank's reserve assets.
Notes: 1. The next balance of payments data will be released at 16:20 on November 20, 2024.
2. For the release schedule for the coming months, please visit the Advance Release Calendar on the Bank's website.
Attachment(s) for download
- Table113-0820XLSX