January Current Account Surplus of $1.8 Billion, 21 Consecutive Months of Surplus... Surplus Narrowed Due to Sharp Rise in Oil Prices

Profit Surplus Reduced by $4.97 Billion Compared to Same Month Last Year

[Image source=Yonhap News]

[Asia Economy Reporter Seo So-jung] In January of this year, the current account recorded a surplus of $1.81 billion, continuing a 21-month streak of surpluses. However, the surplus narrowed by $4.97 billion compared to the same month last year due to the sharp rise in oil and raw material prices.

According to the provisional balance of payments statistics for January 2022 released by the Bank of Korea on the 11th, the current account recorded a surplus of $1.81 billion. This marked 21 consecutive months of surplus since May 2020.

The surplus amount decreased by $4.97 billion compared to the same month last year ($6.78 billion).

The goods account surplus shrank from $5.58 billion in the same month last year to $670 million.

Exports increased by $9.28 billion from $46.85 billion in the same month last year to $56.13 billion, marking a 15-month consecutive increase compared to the same month last year, driven by petroleum products, steel products, and semiconductors amid the global economic recovery.

Imports recorded $55.46 billion, up $14.19 billion from $41.27 billion in the same month last year. Imports have increased for 13 consecutive months due to a surge in raw material imports as well as continued expansion in capital goods and consumer goods imports. Raw material imports surged by 67.4%, including coal (213.8%), gas (187.4%), crude oil (86.9%), and petroleum products (70.3%).

The services account deficit narrowed to $450 million, down from a $930 million deficit in the same month last year, supported by a favorable transportation balance. The transportation balance recorded a surplus of $2.32 billion, expanding the surplus compared to the same month last year and marking the largest surplus ever recorded.

This content was produced with the assistance of AI translation services.