Current account surplus widens to RM12.5 bln — BNM

KUALA LUMPUR: The current accountsurpluswidenedtoRM12.5 billion in the third quarter of 2017 (3Q17) compared to RM9.6 billion in the the preceding quarter, said Bank Negara Malaysia (BNM).

In a statement yesterday, BNM said the surplus accounted for 3.7 per cent of the gross national income (GNI) compared with three per cent in second quarter of 2017 (2Q17).

BNMsaidthiswasprimarilydue to a larger goods surplus which had offset the higher deficits in theincomeaccountsandsustained deficit in the services account.

“The goods surplus widened to RM31.7 billion in 3Q17 compared with RM27 billion in 2Q17 as exports grew at a faster pace, while intermediate and capital imports moderated from 2Q17,” it said.

BNM said the deficit in the services account was broadly sustained at RM4.9 billion in 3Q17 compared with RM5 billion in 2Q17, while the travel account registered a bigger surplus at RM9.2billion,supportedbyhigher touristarrivalsandspendingamid major sporting events held during the quarter.

“This improvement was partly offset by a larger deficit in construction services which was at RM3.3 billion in 3Q17, reflecting the mainly lower receipts due to the near completion of construction projects in Qatar and India,” it said.

Meanwhile, it said, the higher deficit in the primary income account,whichstoodatRM8.6billion in 3Q compared with RM8.2 billion in 2Q17, was largely attributable to lower income generated by Malaysianfirmsinvestingabroad,which stood at RM11.4 billion in 3Q 2017 compared with RM12.4 billion in 2Q 2017. — Bernama