Euro zone current account surplus widens in June

Key facts

• The euro zone's current account surplus increased to €35.1 billion in June.
• This represents a rise from €25.8 billion in May on a seasonally adjusted basis.
• Higher primary income, including dividends and direct investment, contributed to the surplus.
• Unadjusted data showed a surplus of €46.9 billion in June, a significant increase from a €6.1 billion deficit in June of the previous year.
• The 12-month balance of payments surplus to June narrowed to 1.7% of GDP.

The euro zone's current account surplus saw an increase in June, reaching €35.1 billion on a seasonally adjusted basis, up from €25.8 billion in the prior month. This widening was primarily attributed to higher primary income flows, which encompass dividends, wages, and direct investment, according to data released by the European Central Bank.

On an unadjusted basis, the surplus was even larger, standing at €46.9 billion in June, a notable shift from a deficit of €6.1 billion recorded in the same month of the previous year. Despite the monthly improvement, the cumulative surplus over the 12 months leading up to June narrowed to 1.7% of the bloc's GDP, down from 2.0% in the preceding 12-month period.