Key facts
- The euro zone's seasonally adjusted current account surplus rose to €25.1 billion in May.
- Primary income, including interest and dividends, increased, offsetting a narrower trade surplus.
- The unadjusted current account deficit was €6.2 billion in May.
- The annual current account surplus stood at 1.7% of GDP for the 12 months ending May.
The euro zone's seasonally adjusted current account surplus expanded in May, reaching €25.1 billion, an increase from €17.5 billion in the previous month. This growth was primarily fueled by a rise in primary income, which includes earnings from investments such as interest, profits, and dividends. This boost in primary income helped to offset a contraction in the trade surplus.
However, unadjusted figures presented a different picture, showing a deficit of €6.2 billion in May, a significant shift from the €16.7 billion surplus recorded in April. Over the twelve months leading up to May, the bloc's current account surplus represented 1.7% of its Gross Domestic Product (GDP). This figure is lower than the 2.0% recorded in the preceding twelve-month period, indicating a slight erosion of the overall external balance over the longer term.