OVERALL BALANCE OF PAYMENTS
In the first quarter 2016, Malaysia's Balance of Payments recorded a lower surplus in current account of RM5.0 billion. Meanwhile, financial account recorded a net inflow of RM5.8 billion. The international reserves of Bank Negara Malaysia decreased by RM27.6 billion.
The current account balance decreased by RM5.5 billion from previous quarter mainly due to a lower surplus in goods account of RM23.5 billion (Q4 2015: RM31.1 billion) and higher deficit of RM6.8 billion in services account. Moreover, primary income registered a narrowed net outlay of RM6.7 billion while secondary income account recorded a lower deficit of RM4.9 billion.
In Q1 2016, capital account registered lower deficit of RM9.0 million compared to RM15.0 million in the last quarter. This was due to lower payments in capital account debits by RM6.0 million. Year-on-year, capital account deficit widened by RM9.0 million from RM1.0 million in the same period last year.
Direct Investment Abroad (DIA) posted a higher net outflow of RM11.3 billion (Q4 2015: net outflow RM6.4 billion). Meanwhile, Foreign Direct Investment (FDI) in Malaysia recorded a higher net inflow of RM15.0 billion (Q4 2015: net inflow RM12.2 billion).
Year-on-year, financial account registered a turnaround to net inflow from net outflow of RM29.8 billion in Q1 2015. This was mainly due to a reversal in portfolio investment to net inflow RM13.1 billion (Q1 2015: net outflow RM7.9 billion). DIA posted lower net outflow by 0.1 per cent while FDI posted a higher net inflow by 52.4 per cent compared with last year for the same quarter.
The international reserves of Bank Negara Malaysia decreased by RM27.6 billion in Q1 2016 to stood at RM381.5 billion (Q4 2015: RM409.1 billion).
THE OFFICE OF CHIEF STATISTICIAN MALAYSIA
DEPARTMENT OF STATISTICS, MALAYSIA
13 May 2016