BALANCE OF PAYMENTS - December & Annual 2015

FBoS Release No: 45, 2016
23rd August 2016


Fiji’s Balance of Payments (BOP) Statistics shows the value of Fiji’s transactions with the rest of the world in goods, services, primary income, secondary income and capital accounts. It also shows changes in Fiji’s financial claims on (assets) and (liabilities) to the rest of the world. The information used in this release is from the International Investment Survey and Administrative sources.

All values in this release are in Fiji Dollars (FJD).

ANNUAL 2015

Key Facts

bopWriteDec16a

CURRENT ACCOUNT

Records the value of Fiji’s transactions with the rest of the world in goods, services, primary income and secondary income. The current account balance is the sum of all current account credits less all current account debits. When the sum of debits is greater than the sum of credits we have a current account deficit.

bopDec16a

  • The current account balance showed a net outflow of $142.9 million for 2015.
  • The net outflow current account balance fell by 77.2 percent ($485.2 million) when compared to 2014.
  • The balance on goods and services was a deficit of $264.8 million in 2015. This represents a fall by 60.5 percent ($406.4 million) when compared to 2014. Imports of goods decreased by $607.0 million mainly due to decrease in mineral fuels. At the same time, an increase in the value of services exported mainly earnings from tourism also contributed to the improved goods and services balances.
  • The balance on primary income was a deficit of $424.7 million in 2015. This represents a rise by 3.0 percent ($12.2 million) when compared to 2014 as a result of an increase in the outflow of reinvested earnings.
  • The balance on secondary income was a surplus of $546.6 million in 2015. This represents a rise by 20.0 percent ($91.0 million) when compared to 2014 due to an increase in personal transfers.

CAPITAL ACCOUNT
Has two components – capital transfers and the acquisition or disposal of non-produced, non-financial assets. Capital transfers involve the transfer of ownership of fixed assets, or the transfer of funds linked to them, without any counterpart transaction.

bopDec16b

  • The capital account balance showed a net inflow of $6.4 million for 2015.
  • The capital account balance fell by 22.0 percent ($1.8 million) when compared to 2014.

 

 

 

 

 

 

FINANCIAL ACCOUNT


Records financial transactions involving Fiji claims on assets and liabilities to non-residents. The financial account is classified into assets and liabilities, which are broken down by type of investment (direct, portfolio, other investment and reserve assets) and instrument of investment.

bopDec16c

  • The financial account balance showed a net borrowing of $532.1 million which consisted of net outflows of $701.5 million in equity and inflows of $169.4 million in debts for 2015.
  • The financial account net borrowing fell by 45.4 percent ($442.2 million) when compared to 2014.

 

 

 

 

 

 

  • Direct investment showed a net outflow of $727.1 million in 2015. This represents a rise by 23.7 percent ($139.5 million) when compared to 2014.
  • Portfolio investment showed a net inflow of $187.8 million in 2015. This represents a rise by 816.1 percent ($167.3 million) when compared to 2014.
  • Other investment showed a net outflow of $128.7 million in 2015. This represents a fall by 71.5 percent ($322.7 million) when compared to 2014.
  • Reserve assets showed a net inflow of $135.9 million in 2015. This represents a rise by 207.5 percent ($91.7 million) when compared to 2014.

DECEMBER QUARTER 2015

Key Facts

  • The Current and Capital account balance stood at a deficit of $27.4 million;
  • Financial account balance stood at a deficit of $100.6 million.

CURRENT ACCOUNT

bopDec16d

  • The current account balance showed a net outflow of $29.8 million for the December quarter of 2015.
  • The net outflow current account balance fell by 338.4 percent ($42.3 million) when compared to the September quarter of 2015.
  • The net outflow current account balance fell by 82.8 percent ($143.0 million) when compared to the December quarter of 2014.
  • The balance on goods and services was a deficit of $66.5 million in the December quarter of 2015. This represents a fall by 61.0 percent ($104.2 million) when compared to the December quarter of 2014. Imports of goods decreased by $245.3 million mainly due to decrease in machinery and transport equipment. At the same time, an increase in the value of services exported mainly earnings from tourism also contributed to the improved goods and services balances.
  • The balance on primary income was a deficit of $131.5 million in the December quarter of 2015. This represents a rise by 12.8 percent ($14.9 million) when compared to the December quarter of 2014 as a result of an increase in investment income paid abroad.
  • The balance on secondary income was a surplus of $168.2 million in the December quarter of 2015. This represents a rise by 46.9 percent ($53.7 million) when compared to the December quarter of 2014 due to an increase in other current transfers.

CAPITAL ACCOUNT

bopDec16e

  • The capital account balance showed a net inflow of $2.4 million for the December quarter of 2015.
  • The net inflow capital account balance represents a rise by 140.0 percent ($1.4 million) when compared to the September quarter of 2015.
  • The net inflow capital account balance fell by 25.0 percent ($0.8 million) when compared to the December quarter of 2014.

 

 

 

 

 

 

 

FINANCIAL ACCOUNT

bopDec16f

  • The financial account balance showed a net borrowing of $100.6 million which consisted of net outflows of $153.9 million in equity and inflows of $53.3 million in debts for the December quarter of 2015.
  • The financial account net borrowing rose by 188.3 percent ($65.7 million) when compared to the September quarter of 2015.
  • The financial account net borrowing fell by 59.6 percent ($148.4 million) when compared to the December quarter of 2014.

 

 

 

 

 

 

 

  • Direct investment showed a net outflow of $133.6 million in the December quarter of 2015. This represents a fall by 49.4 percent ($130.6 million) when compared to the December quarter of 2014.
  • Portfolio investment showed a net inflow of $129.7 million in the December quarter of 2015. This represents a rise by 1,135.2 percent ($119.2 million) when compared to the December quarter of 2014.
  • Other investment showed a net outflow of $26.7 million in the December quarter of 2015. This represents a fall by 55.7 percent ($33.6 million) when compared to the December quarter of 2014.
  • Reserve assets showed a net outflow of $70.0 million in the December quarter of 2015. This represents a fall by 207.7 percent ($135.0 million) when compared to the December quarter of 2014.

 

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Caution:

References can also be made to Fiji Bureau of Statistics’ Quarterly Releases on International Investment Position (IIP), International Trade in Services (ITS) and the monthly Releases on International Merchandise Trade Statistics (IMTS). However, caution should be exercised when comparing imports reported in the IMTS Release as they are on a CIF (cost, insurance and freight) basis, whereas in Balance of Payments adjustments are made to the imports to have it reported on FOB (free on board) basis.

For further enquiries please contact Ms. Radhika Kumar on email or telephone 331 5822 (ext. 386 246) or direct line 323 0846.

Balance of Payments Statistics for the March Quarter of 2016 will be released as soon as the disaggregated data becomes available.