US: The current-account deficit decreased to 2.4% of GDP

The U.S. current-account deficit decreased to $112.4 billion (preliminary) in the fourth quarter of 2016 from $116.0 billion (revised) in the third quarter of 2016, according to statistics released by the Bureau of Economic Analysis (BEA).

Key findings:

  • The deficit decreased to 2.4 percent of current-dollar gross domestic product (GDP) from 2.5 percent in the third quarter
  • The $3.6 billion decrease in the current-account deficit mostly reflected a $19.9 billion increase in the surplus on primary income that was largely offset by a $17.5 billion increase in the deficit on goods
  • Exports of goods and services and income receipts increased $4.0 billion in the fourth quarter to $804.0 billion.
  • Imports of goods and services and income payments increased $0.4 billion to $916.4 billion
  • Net U.S. borrowing measured by financial-account transactions was $406.5 billion in 2016, an increase from net borrowing of $195.2 billion in 2015