SARAJEVO, April 17 (Reuters) - Bosnia’s current account deficit was nearly halved in 2013 to 1.43 billion Bosnian marka ($1 billion), or 5.5 percent of gross domestic product, as the foreign trade gap shrank, according to the country’s central bank.
The trade deficit was still large at 7.8 billion marka, but 7.6 percent lower than it was in 2012, after exports rose and imports fell, the central bank said on its website on Thursday. The current account deficit was 947.3 million marka less than it was in 2012, when it amounted to 9.7 percent of GDP.
The bank said the balance of services was up 3.1 percent to 2.25 billion marka in 2013 after their exports rose slightly and imports fell significantly.
External funding was enough to finance the current account deficit, so foreign exchange reserves remained intact, the central bank said. In fact, reserves posted a record increase at around 7 billion marka, the bank said.
Remittances from Bosnians working abroad and foreign direct investment remained about the same as in 2012.
Earlier this month, the bank said it expected the Balkan country’s economy to grow 2.4 percent this year on stronger exports and industrial output, after expanding 1.5 percent in 2013.
Reporting by Daria Sito-Sucic; Editing by Larry King