Spectator on facebook

Spectator on facebook

Analyst: Foreign trade in April made up for a weak March

The foreign trade surplus increased in April 2016 to €404 million, fulfilling expectations after weaker “Easter” figures in March.

(Source: Sme)

The Slovak Statistics Office (ŠÚ), based on more accurate data, also revised the surplus for the first quarter (Q1, by €46 million). Thus, the 12-month surplus of foreign trade increased in March from 4.1 percent to 4.2 percent of GDP.

The more significant correction of the lower March figures was in accordance with our expectations, Ľubomír Koršňák, macroeconomic markets analyst of the UniCredit Bank Czech Republic and Slovakia, wrote on March 9.  

Even more positive than the overdraft itself was the recovery of turnover in foreign trade. Both exports and imports were marked by a strong correction, virtually totally annulling the March losses.  In April, exports increased by 3.0 percent against the previous month (seasonally adjusted, according to UniCredit Bank). They returned to black numbers in year-on-year comparison, higher by 6.4 percent against 2015. Thus, they seem to also confirm the hypothesis about Easter falling at the end of month (and quarter) having impacted the balance, at least partially. This would also explain the weaker growth dynamics of exports. It seems that the automotive industry remains to be the main driving force behind exports.

Also imports grew dynamically in April, according to Koršňák, by 4.1 percent (seasonally adjusted) and their y-o-y growth was revived, too – increasing by 3.9 percent compared to last year. The post-Easter stocking of stores with goods seems to be behind this dynamic growth, as well as stronger consumer imports. Nominally, also the recovering oil prices on global markets increased the amount of imports.

The outlook is for the foreign trade surpluses to gradually grow and then stabilise in the following months – around 4.5 percent of GDP, Koršňák concluded. 

Top stories

12 places where you can see the works of one of the best medieval wood carvers Photo

The works of the renowned Master Paul are not limited just to Levoča.

St Geirge Curch in Spišská Sobota

Ukrainian caught beauty of Nitra in video Video

The city under Zobor is beautiful also from a bird’s perspective.

Heatwaves to continue in Slovakia over the following days

More than 40 people collapsed due to hot weather on Thursday.

Foreigners: Events around Slovakia Photo

Tips for performances and other events in the Slovak regions between July 21 and 30, including a castle festival, a parkour meeting, a hip-hop dance and music festival, a festival of minorities, a special run,…

Onyx will perform at the Legits Blast event in Banská Bystrica