Page 48 - RusRPTAug23

The CBR commented on the reasons for the decline:
· the decline in the surplus of the balance of the external trade in goods in January – June 2023 compared to the comparable period of 2022 was caused by a decrease in both the physical volumes of export deliveries and the deterioration in the price situation for the basic Russian export commodities, energy commodities made the most significant contribution to the decline in the value of exports;
· the recovery in the value of imports of goods continued, the value of which in January – June 2023 was close to the comparable period in 2021, the quarterly dynamics of imports was persistent;
· the deficit in the balance of the external trade in services increased due to the rebound of imports of services, including as a result of the revival of foreign trips of Russian citizens in connection with the start of the tourist season;
· the total deficit in primary income in 2023 Q2 was affected by the declaration of dividends by Russian companies;
· the negative balance of secondary income in 2023 Q2 increased due to a seasonal growth in the amount of outgoing personal transfers;
· net lending to the rest of the world, the bulk of which occurred in 2023 Q1, was in the form of accumulation of foreign assets with a stable value of external liabilities;
· the acquisition of financial assets occurred mainly in the form of direct investments made in Q2;
48 RUSSIA Country Report August 2023 www.intellinews.com