The euro zone’s current account surplus widened in June, driven by higher primary income receipts, according to European Central Bank data released on Monday.
The combined surplus for the 21 euro-using nations rose to €35.1 billion ($40.7 billion) in seasonally adjusted terms, up from €25.8 billion in May. On an unadjusted basis, the surplus expanded to €46.9 billion from a deficit of €6.1 billion in the prior month.
Primary income, which includes dividends, wages, and direct investment flows, accounted for the bulk of the improvement. The euro traded at $1.16 to the dollar at the time of the report.
Over the 12 months through June, the bloc’s current account surplus narrowed to 1.7% of GDP, down from 2.0% in the year ending May. The data reflects the euro zone’s persistent external imbalances amid shifting trade and investment dynamics.
