Statistical Press Release – Balance of payments - November 2020

Between January and November of 2020, the primary income deficit decreased by €1946 million, when compared with the previous year, reaching €2657 million. This decrease of the deficit was mainly caused by the decline in investment income payments to non-resident entities. The secondary income surplus decreased by €242 million, mostly as a result of the evolution of the current transfers. On the other hand, the capital account balance increased €244 million, when compared to the same period of the previous year, mainly due to an increase of the EU funds received.

Up to November 2020, the financial account balance saw a €641 million increase in net foreign assets in Portugal (Chart 4). This was mainly due to the positive contribution of portuguese banks, characterized by an increase in assets, as a result of the investment in debt securities issued by member states of the Monetary Union and by a reduction in liabilities, through a decrease in deposits from non-residents. In contrast, it was observed an increase in liabilities of Banco de Portugal vis-à-vis the Eurosystem and an investment of non-residents in Portuguese public debt securities, as well as in securities issued by Portuguese companies.