The August excess is mainly due to the massive narrowing of the trade deficit, generated by the economic downturn, which means that imports fell considerably, and less money exited the country.
The crisis has also affected capital entries in the form of foreign investments. Foreign direct investments in Romania plunged 53.1 percent year-on-year in the first eight months, to €3.15 bln. Still, these managed to fully cover the current account deficit, exceeding this by some 29 percent.
Moreover, cash entries in the form of current transfers, which include mainly remittances by Romanians working abroad, fell 23.6 percent in the January-August period, to €4.67 bln, compared to their level in the first eight months in 2008, of €6.11 bln.
