The current account deficit increased by 71.7% to USD 5,149 million in December 2007 in comparison with a deficit of USD 2,998 million in December 2006. As regards the main reasons for this development, it can be observed that foreign trade deficit in the balance of payments presentation increased by 58.6% to USD 4,909 million, services surplus narrowed by 58.6% to USD 193 million and income deficit increased by 30.2% to USD 728 million. However, current transfers indicated a growth of 54.5% over the same month of the previous year reaching to USD 295 million in December 2007.

As a result, the current account deficit in 2007 was recorded as USD 37,434 million, which is 17% higher than the USD 31,893 million deficit posted in 2006.

The share of FDI has been increasing in Current Account financing. Approximately 60% of the current account deficit was financed by the foreign direct investments in 2007. The external borrowing of non-bank private sector is also increasing with the aim of financing trade and investment activities.