CHILE: Current Account Posts US$ 1.55 Billion Deficit In 2Q17

(RTTNews) - The Chilean current account showed a US$ 1.549 billion deficit in the second quarter of 2017, representing 2.4% of the quarterly Gross Domestic Product (GDP). In cumulative terms, the last four quarters showed a deficit of 2.2% of GDP, the Chilean central bank said on Friday.

The monetary authority said that the deficit was because the positive balance of goods and services and current transfers was offset by the negative income balance.

The trade balance posted a surplus, closing at US$ 1.606 billion, a figure US$ 338 million lower than the recorded in the same period of 2016. Exports grew by US$ 1.183 billion (8.0% on year), primarily due to a higher volume of imports of consumer goods (mainly automobiles) and an increase in fuel prices.

Chile's foreign debt increased by US$ 5.407 billion when compared to the end of the previous quarter, reaching US$ 168.706 billion, equivalent to 65.4% of the country's annual GDP.