Finland posts current account surplus of EUR 0.78 bn in July
Current account
The current account posted a surplus of EUR 0.78 bn in July 2008, compared with EUR 1.03 bn in the same period the previous year. For the twelve months August 2007 – July 2008, the current account recorded a surplus of EUR 7.57 bn.
In BOP terms, there was a EUR 0.34 bn surplus on goods and a EUR 0.37 bn surplus on services in July. The income account posted a surplus of EUR 0.17 bn, and the current transfers account a deficit of EUR 0.10 bn.
Financial account, flows
Net capital outflows in July exceeded inflows by EUR 2.54 bn. There was a net outflow of EUR 5.33 bn in direct investment, the stocks of outward and inward direct investment increasing by EUR 5.98 bn and EUR 0.65 bn, respectively. Portfolio investment was outward on net, in the amount of EUR 5.62 bn: external assets increased by EUR 1.19 bn, while liabilities decreased by EUR 4.43 bn. Other investments (loans, deposits, trade credits and other items) resulted in a net capital inflow of EUR 8.31 bn.
International investment position, stock
An analysis of Finland’s net international investment position at the end of July shows that Finnish residents' external liabilities were EUR 17.83 bn more than their external assets. External assets totalled EUR 385 bn, while liabilities totalled EUR 403 bn.
The external liabilities of non-financial corporations, monetary financial institutions (MFIs), central government and local government exceeded their external assets. Equity-related liabilities accounted for most of the debt accumulated by non-financial corporations. In contrast, the external assets of the central bank, other financial institutions, employment pension funds and households exceeded their external liabilities.
Finland's net international investment position excluding equity items at the end of July was negative, in the amount of EUR 2.70 bn.
| Year 2007, EUR million |
June 2008, EUR million |
July 2008, EUR million |
12 month moving sum, EUR million | |
| Current account | 7,302 | 1,267 | 781 | 7,570 |
| Goods | 8,746 | 941 | 340 | 8,222 |
| Services | 747 | 166 | 375 | 2,112 |
| Income | -809 | 227 | 171 | -1,382 |
| Transfers | -1,383 | -66 | -104 | -1,383 |
| Capital account* | 172 | – | – | – |
| Financial account | -5,487 | -947 | -2,538 | -3,774 |
| Direct investment | 3,118 | -192 | -5,331 | -4,113 |
| Portfolio investment | -8,482 | -790 | -5,618 | -7,902 |
| Other investment | 744 | -148 | 8,310 | 10,824 |
| Reserve assets | -227 | -12 | 23 | -166 |
| Financial derivatives | -641 | 195 | 78 | -2,417 |
| Errors and omissions | -1,987 | -320 | 1,756 | -3,867 |
The statistics become final more than two years after the end of the reference year.
* Capital account is not estimated monthly. The figures are published first after the yearly data are prepared.
More information
Jaakko Suni tel. +358 10 831 2454, email firstname.surname(at)bof.fi