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Source: tovima.com
Current Account Deficit Fell by €573.2ml Feb. 2025: BoG
The improvement of Greece’s current account was mainly attributed to a more robust balance of goods and, to a lesser extent, an improved primary income account
Greece’s current account deficit shrank by €573.2 million compared to the same month in the previous year, reaching €2.5 billion in Feb. 2025, according to the Bank of Greece (BoG).
The improvement of Greece’s current account was mainly attributed to a more robust balance of goods and, to a lesser extent, an improved primary income account. These gains were partially offset by a decline in the services balance and a deterioration in the secondary income account.
The narrowing of the goods deficit reflected a combination of falling imports and a slight rise in exports. Exports increased by 0.9% at current prices—or 3.4% in constant price terms—while imports dropped by 7.6% (7.9% in constant prices). Exports of non-oil goods rose by 1.1% at current prices (2.4% in constant terms), and imports in this category fell by 3.0% (4.1% in constant prices).
The surplus in the services balance shrank, affected by a decline in all major components. Although non-resident arrivals fell slightly by 0.8% compared to February 2024, travel receipts registered a modest increase of 0.5%.
The primary income account deficit was nearly halved on a year-on-year basis, primarily due to lower net payments of interest, dividends, and profits, along with an uptick in other primary income receipts. However, the secondary income account showed a deeper deficit, attributed to increased net payments from other sectors outside general government.
In contrast, over the first two months of 2025, the current account deficit widened compared to the same period last year, increasing by €211.1 million to stand at €1.5 billion. This expansion was mainly due to a worsening of the secondary income account and a weaker services balance, though these were partly counterbalanced by gains in the balance of goods and an improved primary income account.
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