Cyprus’ preliminary current account deficit deteriorated in the third quarter of 2023 to pound 517 million from pound 399 million in the respective period of last year, marking an annual increase of 29.6%, according to provisional external statistics data published by the Central Bank of Cyprus (CBC) on Friday.
However, when adjusted for the impact of Special Purpose Entities (SPEs), that is, classifying SPEs as non-residents, the current account deficit drops to pound 408.9 million in Q3 2023, compared with a deficit of pound 548.8 million in Q3 2022, the CBC added.
Furthermore, Cyprus’ international investment position (IIP) recorded an improvement in Q3 2023, presenting a net liability position of pound 28,267.5 million, compared with a net liability position of pound 28,658.3 million in Q2 2023.
With the corresponding data being adjusted for the impact of SPEs, IIP recorded a net liability position of pound 10,130.7 million in Q3 2023, compared with a net liability position of pound 10,710.7 million,
in Q2 2023.
The gross external debt decreased to pound 162,317.2 million in Q3 2023 from pound 169,614.3 million in Q2 2023. The external assets in debt instruments increased to pound 152,975.5 million, up from pound 146,830.5 million in Q2 2023.
Consequently, the net external debt decreased by pound 13,441.7 million to pound 9,342.1 million in Q3 2023, the CBC added.
Adjusted for the impact of SPEs, gross external debt amounted to pound 58,261.2 million in Q3 2023, compared to pound 58,513.4 million, in Q2 2023.
The corresponding net external debt indicator decreased to -pound 14,534.8 million in Q3 2023, compared with -pound 12,822.1 million in Q2 2023, the CBC added.
Source: Cyprus News Agency