Colombia’s current account in the second quarter posted a deficit equivalent to 2.2% of gross domestic product, the central bank said Thursday.
The current account in the second quarter registered a deficit of $2.98 billion compared with a deficit of $1.8 billion in the same period in 2009.
The current account deficit widened as foreign companies repatriated higher profits from their operations in Colombia.
At the same time, the entry of foreign currency to Colombia as net foreign direct investment fell 18% to $4.11 billion for the first six months of the year. Remittances from workers living abroad fell 10.5% to $1.870 million in the first six months the year.
These elements were partly offset by a higher trade surplus registered over the period. The country’s trade surplus was $2.36 billion in the first six months.
Exports revenue was also boosted by higher prices and higher exports of commodities such as oil and coal.
On the other hand, the capital account posted a surplus of $4.32 billion, up from $1.8 million in the same period a year ago. (Darcy Crowe / Dow Jones Newswires)