BALANCE OF PAYMENTS
PRESS RELEASE Release Date: May 20, 2014
BALANCE OF PAYMENTS
For the first quarter of 2014, the overall balance of payments recorded a surplus of US$2.62 billion, reflecting an increase in the Bank's reserve assets. The current account posted a surplus of US$15.49 billion and the financial account showed a net outflow of US$12.95 billion.
In the current account, export growth expanded by 1.0% year on year, owing to a lower base effect from exports to the US and European economies. Imports fell by 2.1% year on year, as imports of agricultural and industrial raw materials decreased. With an increase in exports and a decline in imports, the goods trade surplus widened by US$2.08 billion to US$7.24 billion, compared to the same period of the previous year.
The services account recorded a surplus of US$2.97 billion, with a year-on-year increase of US$0.89 billion on account of increases in travel receipts and net proceeds from merchanting. The income account ran a surplus of US$5.66 billion with an increase of US$0.93 billion from the same period last year, mainly attributable to increased revenues from residents' outward direct investment and a rise in banks' interest income abroad. The current transfers deficit narrowed by US$0.25 billion year on year to US$0.39 billion.
Overall, the current account surplus of the first quarter of 2014 rose by US$4.15 billion or 36.6% year on year, resulting from wider surpluses in goods trade, services and income accounts as well as a narrower current transfers deficit.
In the financial account, direct and portfolio investment registered net outflows of US$2.13 billion and US$6.58 billion, respectively. Residents' portfolio investment abroad exhibited a net outflow of US$11.46 billion, mainly owing to greater investment abroad by insurance companies. Non-residents' portfolio investment recorded a net inflow of US$4.88 billion, mostly accounted for by increasing foreign investment in the Taiwanese stock markets. Financial derivatives posted a net inflow of US$0.13 billion, while other investment showed a net outflow of US$4.37 billion as banks' deposits with overseas branches increased.
Notes: 1. The next balance of payments data will be released at 16:20 p.m. on
August 20, 2014.
2. For the release schedule for the coming months, please check the CBC website at
http://www.cbc.gov.tw/ct.asp?xItem=30164&ctNode=515&mp=2.