Philippine central bank says 2024 current account deficit wider than expected


MANILA (Reuters): The Philippines current account deficit for 2024 will be much wider than previously expected, the central bank said on Friday, and the gap is projected to increase in 2025 due to geopolitical shocks and possible shifts in US trade policies.

The current account, which measures the flow of goods, services and investments in and out of the country, is now forecast to post a $10.4 billion deficit in 2024, equivalent to 2.2% of gross domestic product (GDP), larger than the $6.8 billion shortfall projected in September.

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