Hong Kong recorded a $68.9 billion surplus in its balance of payment account - 18.1% of GDP - in the first quarter, compared to $147.3 billion in Q4 last year, the Census & Statistics Department says.

Of the major balance of payment components, there was a current account surplus of $40.8 billion compared to $80.3 billion in Q4. A net inflow of financial non-reserve assets amounting to $31.2 billion was also recorded.

Beating the $50.3 billion figure for the same quarter in 2008, the current account surplus in Q1 was characterised by a decrease in the visible trade deficit, a decrease in the invisible trade surplus, a decrease in the net inflow of external factor income, and a continued net outflow of current transfers.

A net inflow of capital transfers was estimated at $7.4 billion in Q1, as compared with a net inflow of $4.3 billion in Q4 last year.

An overall net inflow of financial non-reserve assets amounting to $31.2 billion was recorded in the first quarter, against a net inflow of $73.9 billion in the fourth quarter. 

The overall net inflow of financial non-reserve assets in Q1 was the combined result of a net inflow of direct investment, a net inflow of portfolio investment, a net inflow due to cash settlement of financial derivatives, and a net outflow of other investments.

External debt

At the end of March, Hong Kong's gross external debt, measuring total outstanding gross external liabilities other than equity liabilities, amounted to $4.964 trillion.