As Expected, Current Account Surplus Dwindled in 1Q 2016

Economic Research	20 June 2016
Philippines
Economic Highlights
As Expected, Current Account Surplus Dwindled in 1Q 2016 The Philippines’ current account in the balance of payments registered a lower surplus of USD0.4bn or 0.6% of GDP in 1Q 2016, falling from a surplus of USD3.8bn or 4.7% of GDP in 4Q 2015 and compared with USD0.1bn or 0.2% of GDP in 3Q 2015. This was due largely to a significantly larger merchandise trade deficit and lower surplus in primary income and services accounts but mitigated by higher surplus in secondary income account. This is in line with our expectation. Thus, we maintained our projection of a lower current account surplus of USD5.8bn or 1.9% of GDP in 2016, from a surplus of USD8.4bn or 2.9% of GDP in 2015. Economist:  Rizki Fajar  | +6221 2970 7207
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