Analytics, Financial Services, Foreign trade , Investments, Lithuania

Foreign trade deficit in Lithuania amounted to EUR 208.5 million in the reference period, a decrease of EUR 103 million month-on-month. Export of goods boosted by 2.5%, while import of goods shrank by 2.6%. The balance of trade deficit widened by EUR 383.6 million in January-May 2015 year-on-year. Export of goods contracted by 3.9%, while import of goods boosted by 0.3% in the reference period.

The balance of services posted a surplus of EUR 149 million, an increase of EUR 3.5 million month-on-month. Export of services decreased by 2% in May 2015, while import of services – by 3.7% month-on-month.

The overall balance of primary income posted a deficit (EUR 175.9 million). The build-up of the deficit was due to the negative balance of other primary income (EUR 10.4 million).

The balance of secondary income posted a EUR 25 million deficit, while posting a EUR 54.5 million surplus in April. In January-May 2015 the surplus on the balance of secondary income narrowed by EUR 226.6 million, or 2.2 times year-on-year. Transfers from European Union (EU) support funds amounted to EUR 34.8 million, while Lithuania's calculated contributions (the Union's own resources based on VAT and gross national income) to the EU budget –EUR 120.6 million in May. Private individual remittances from abroad amounted to EUR 92.6 million, while personal transfers from Lithuania – EUR 35.2 million.

The surplus on the capital account balance (EUR 22 million) built up due to capital transfers received for financing investment projects.

The positive flow of net investment (EUR 149.3 million) on the financial account (excluding official reserve assets) was due to the positive flows of net portfolio investment (EUR 212.7 million) and direct investment (EUR 101.1 million). The growth in net portfolio investment was due to an increase of EUR 184.9 million in financial assets abroad and a decline of EUR 27.7 million in liabilities to non-residents. The growth in net direct investment was due to an increase of EUR 21 million in financial assets abroad and a decline of EUR 89.2 million in liabilities to non-residents. The negative flow of net other investment of EUR 181.1 million was due to liabilities to non-residents having grown more (EUR 221.3 million) than the acquisition of financial assets abroad (EUR 40.2 million).