Tue 28 Mar 2023 11:17 am - Jerusalem Time
Statistics: $905 million current account deficit for the fourth quarter of 2022
The latest surveys of the Central Bureau of Statistics and the Monetary Authority , the results of which were released today, Tuesday, showed a continuing deficit in the Palestinian balance of payments (goods, services, income, and current transfers), recording $905 million, in the fourth quarter of 2022.
Statistics and Criticism attributed the continuation of this deficit in the current account to the deficit in the merchandise trade balance, which amounted to 2,116 million US dollars, in addition to the deficit in the services balance, which amounted to 345 million US dollars.
On the other hand, the income account (compensations of workers and investment income) recorded a surplus of $969 million during the fourth quarter of 2022.
Compensation of workers in Israel amounting to $912 million was the main reason for the surplus in the income account, despite the decrease in compensation by 14% compared to the previous quarter.
While investment income received from abroad amounted to $98 million, it mainly resulted from income received on portfolio investments abroad, in addition to interest received on Palestinian deposits in foreign banks.
Net current transfers also recorded a surplus amounting to $587 million. Current transfers to the government sector accounted for 12% of the total current transfers from abroad, a decrease of 68% compared to the previous quarter, while current transfers to other sectors accounted for 88%.
It is worth noting that donor countries' transfers accounted for only about 8% of the total current transfers from abroad.
Preliminary results of the balance of payments indicated a surplus in the capital and financial account amounting to $787 million, as a result of the surplus in the financial account amounting to $679 million.
On the other hand, the reserve assets of the Palestinian Monetary Authority recorded a decrease of $108 million during this quarter, compared to an increase of $175 million in the previous quarter.