Kosovo's current account gap widened 4.2% y/y to EUR 147.6mn in the first half of 2013 as a result of a smaller net current transfers' surplus in Q2, preliminary data released by the central bank showed.
The merchandise trade gap inched up 0.2% on the year to EUR 923.7mn in H1, whereas the balance of services posted a surplus of EUR 137.9mn, up 7% y/y. On the other hand, the surplus on the income balance shrank 8.4% y/y to EUR 74.9mn.
Furthermore, the net current transfers surplus edged down 1.1% y/y to EUR 563.3mn in Jan-Jun due to smaller donor grants to the government of Kosovo. However, the value of remittances of Kosovar citizens living abroad rose 4.2% y/y to EUR 272.4mn.
Tourism revenue during the first six months of the year increased 8.6% y/y to EUR 144.3mn, while spending on tourist services abroad climbed 17.9% y/y to EUR 27.4mn. Accordingly, the Jan-Jun net tourism revenue went up 6.7% y/y to EUR 116.8mn.
The capital account posted a surplus of EUR 12.7mn in the first half of 2013, improving from EUR 1.6mn recorded a year earlier.
Meanwhile, the financial account surplus surged 59.7% y/y to EUR 143mn on the back of higher investment inflows in the country - up 66.4% y/y to EUR 143.4mn. As a result net FDI increased 75.6% y/y to EUR 137.8mn. The net portfolio investment registered the biggest deterioration in the financial account as its deficit more than doubled to EUR 136.2mn.
Finally, Kosovo's Jan-Jun 2013 balance of payments posted a surplus of EUR 8.3mn, which was 66.7% smaller than a year earlier.
Kosovo's BoP, EUR mn | Q2 2012 | Q2 2013 | Change y/y | |
Current Account | -141.7 | -147.6 | 4.2% | |
Goods balance | -921.7 | -923.7 | 0.2% | |
Services balance | 128.8 | 137.9 | 7.0% | |
Income balance | 81.8 | 74.9 | -8.4% | |
Net current transfers | 569.4 | 563.3 | -1.1% | |
Capital Account | 1.59 | 12.7 | 704.0% | |
Financial Account | 89.6 | 143.1 | 59.7% | |
Net FDI | 78.5 | 137.8 | 75.6% | |
Net Errors and Omissions | 50.6 | -9.1 | -118.1% | |
OVERALL BALANCE | 24.9 | 8.3 | -66.7% | |
Source: Kosovo c-bank |
The European Investment Fund (EIF), part of the EIB Group, said on April 15 that it has signed guarantee agreements with 11 banks and financial intermediaries in the Western Balkans. These ... more
EIB Global, the financial arm of the European Investment Bank (EIB) for activities beyond the EU, set a new record by investing €1.2bn in the Western Balkans in 2023, the EIB said on February 9. ... ... more
This Southeast Europe Outlook 2024 has been prepared by bne IntelliNews as part of a series of annual reviews providing updates on the geopolitical, macroeconomic and commercial state of ... more