Page 51 - RusRPTOct21

5.2.2 Current account dynamics
According to preliminary estimates of the Bank of Russia, the current account surplus of the balance of payments of the Russian Federation in January-August 2021 grew to record values over the past 8 years, amounting to $69.7bn.
The determining factor was the 1.8-fold increase in the trade balance surplus as a result of the high dynamics of both energy and non-energy exports, the growth of which was higher than the growth in imports of goods. The aggregate deficit of other components of the current account increased slightly compared to the value of the indicator for the same period last year due to investment income accrued in favor of non-residents. At the same time, the deficit in the balance of foreign trade in services decreased due to the incipient recovery of exports, while the level of imports of services remained unchanged.
The positive balance of financial transactions in the private sector in January-August 2021, according to preliminary data, amounted to $51.1bn against $35.6bn a year earlier. The key role was played by the build-up of foreign assets of other sectors to the greatest extent within the framework of direct investments, as well as other investments of companies and households in foreign financial instruments. At the same time, in contrast to the situation a year earlier, when the formation of the indicator was influenced by the decrease in banks 'liabilities to non-residents, in the period under review, the banks' operations were balanced.
International reserves increased by $40.8bn as a result of both foreign exchange transactions carried out by the Bank of Russia under the fiscal rule and Russia's acquisition of special drawing rights (SDRs) in the amount of $17.5bn as part of the IMF's decision on a new allocation SDR among member countries.
51 RUSSIA Country Report October 2021 www.intellinews.com