South Korea Has $4.52 Billion Current Account Surplus

31/03/2014 08:18 AST

South Korea posted an unadjusted current account surplus of $4.52 billion in February, the Bank of Korea said on Monday - remaining in the black for the 25th consecutive month.

The headline figure is up from $3.61 billion in January.

The financial account saw a net outflow of $6.92 billion, up from $4.48 billion in the previous month.

The goods account surplus widened to $5.43 billion in February, from $4.37 billion a month earlier.

The services account deficit narrowed to $1.06 billion from $1.91 billion in the previous month as the travel and other business account improved, the bank said, despite worsened intellectual property account deficit.

The primary income account surplus narrowed to $0.37 billion from $1.21 billion a month earlier, owing to an increase of dividend payments. The secondary income account registered a deficit of $0.22 billion.

Direct investment shifted to a net outflow of $2.16 billion from a net inflow of $0.53 billion in January, as foreign direct investment shifted to a net outflow.

Portfolio investment recorded a net outflow of $7.39 billion, sharply up from the $4.19 billion the previous month, due mostly to the shift to a net outflow of foreign investors' debt securities investment, the bank said.

Financial derivatives posted a net inflow of $0.22 billion.

Other investment recorded a net inflow of $4.74 billion, up from $1.94 billion the previous month owing largely to more borrowing by domestic financial institutions, the bank said. Reserve assets increased by $2.32 billion.

Seasonally adjusted, the current account surplus was $7.57 billion - down from $8.55 billion a month earlier.

RTT News