According to the latest revisions, the EU25 external current account recorded a deficit of 4.8 billion euro in the fourth quarter of 2006, compared with a deficit of 24.0 bn in the fourth quarter of 2005 and a deficit of 20.5 bn in the third quarter of 2006.

In the fourth quarter of 2006, compared with the fourth quarter of 2005, a lower deficit was recorded in the goods account (-25.2 bn euro compared with -32.1 bn), while the surplus of the services account increased (+19.3 bn compared with +16.0 bn). The surplus of the income account also increased (+16.5 bn compared with +5.7 bn), as did the deficit of the current transfers account (-15.4 bn compared with -13.6 bn).

The surplus recorded in the services account (+19.3 bn euro) is mainly the result of surpluses in financial services (+8.2 bn), "other business services3" (+7.8 bn), transportation (+3.8 bn) and computer & information services (+3.8 bn), partially offset by deficits in royalties & license fees (-3.5 bn) and travel (-2.3 bn).

In the fourth quarter of 2006, the EU254 external current account recorded a surplus with the USA (+25.7 bn euro), Switzerland (+6.9 bn), Canada (+3.3 bn), India (+1.5 bn) and Hong Kong (+1.1 bn), and a deficit with China (-35.2 bn ), Japan (-6.9 bn) and Russia (-4.9 bn).

Preliminary annual results for 2006, compared with 2005, show an increase in the EU25 external current account deficit (-69.8 bn euro compared with -53.6 bn), mainly due to a sharp rise in the goods deficit (-145.7 bn compared with -92.7 bn) and a deterioration in the current transfers account (-54.3 bn compared with -48.7 bn) that were partially offset by higher surpluses in the services account (+67.1 bn compared with +55.1 bn) and in the income account (+63.0 bn compared with +32.8 bn).