According to the latest available data, the EU27 external current account recorded a deficit of 18.2 billion euro in the fourth quarter of 2010, compared with a deficit of 4.8 bn in the fourth quarter of 2009 and a deficit of 15.5 bn in the third quarter of 2010.

In the fourth quarter of 2010, compared with the fourth quarter of 2009, there was an increase in the deficit of the goods account (-29.3 bn euro compared with -10.7 bn), while the deficit of the current transfers account remained nearly stable (-19.2 bn compared with -18.9 bn). The surplus of the services account rose (+20.8 bn compared with +19.5 bn), as did the surplus of the income account (+9.5 bn compared with +5.2 bn).

The surplus recorded in the services account (+20.8 bn euro) is mainly the result of surpluses in "other business services", which includes miscellaneous business, professional and technical services (+8.3 bn), financial services (+7.8 bn), computer & information services (+6.8 bn), transportation (+4.6 bn) and construction services (+2.3 bn), partially offset by deficits in travel (-4.4 bn) and royalties & license fees (-2.0 bn).

In the fourth quarter of 2010, the EU27 external current account recorded deficits with China (-40.9 bn), Russia (-9.1 bn) and Japan (-7.0 bn), and surpluses with Switzerland (+15.8 bn euro), the USA (+14.9 bn), Hong Kong (+4.7 bn), Brazil (+4.2 bn), Canada (+2.6 bn) and India (+1.8 bn).

Financial Account

In the fourth quarter of 2010, the EU27 disinvested 13.6 bn euro abroad, compared with direct investments of 77.8 bn in the same quarter of 2009, while foreign direct investors made investments in the EU27 of 29.2 bn, compared with 90.5 bn in the same quarter of 2009. Portfolio investments recorded a net outflow of 14.6 bn, compared with a net inflow of 38.3 bn in the fourth quarter of 2009.

Current account of Member States (including intra-EU flows)

As concerns the total (intra-EU plus extra-EU) current account balances of the EU27 Member States5, eleven recorded surpluses, fifteen deficits and one was in balance in the fourth quarter of 2010. The highest surpluses were observed in Germany (+46.3 bn euro), the Netherlands (+13.9 bn) and Sweden (+5.8 bn), and the largest deficits in France (-17.4 bn), the United Kingdom (-11.5 bn), Italy (-10.5 bn) and Spain (-9.1 bn).