Česká národní banka

Balance of payments

January 2019

The current account surplus was CZK 25 billion in January, thanks to surpluses on the balance of goods and services amounting to CZK 28.5 billion. Primary and secondary income included a surplus of CZK 3 billion on transfers to the Czech Republic from the EU budget. 

Current account
(CZK billions)
Balance of payments – monthly – chart 1 – Current account

The outflow of capital on the financial account (net lending) totalled CZK 5.3 billion owing to assets rising faster than liabilities. The net inflow of foreign direct investment reached CZK 3.1 billion. Net reinvested earnings amounted to CZK 6.8 billion. The annual net direct investment inflow total has been increasing slightly. The outflow of portfolio investment amounting to CZK 58.1 billion (net borrowing) was affected on the liabilities side by reverse operations against the optimisation of banks’ balance sheet structure at the end of 2018 in connection with applicable regulatory requirements (the Resolution Fund).

Direct and portfolio investment
(CZK billions)
Balance of payments – monthly – chart 2 – Direct and portfolio investment

Other investment recorded an inflow of capital (net borrowing) of CZK 44.7 billion. The other capital inflow was due chiefly to a change in the short-term international position of the banking sector (a rise in short-term liabilities). Transactions for CNB clients resulted in a decrease in international reserves of CZK 2.9 billion (adjusted for valuation differences).