Hong Kong recorded a $12.4 billion surplus in its balance of payment account, at  3.3% of GDP, in this year's first quarter, compared to a surplus of $12.1 billion in last year's fourth quarter, the Census & Statistics Department says.

Of the major balance of payments components, there was a current account surplus of $61.9 billion, compared to $56.3 billion in the previous quarter. A net outflow of financial non-reserve assets amounting to $40.4 billion was recorded in the first quarter, which was smaller than that of $53.4 billion in the fourth quarter.

Current account

The current account recorded a surplus of $61.9 billion, up from $37 billion in the first quarter last year.

With imports of goods increasing faster than exports of goods, the visible trade deficit rose to $34.2 billion in the first quarter of 2007, from $29.8 billion in the same quarter last year.

The invisible trade surplus rose to $74.2 billion in the first quarter, from $63 billion in the same quarter in 2006, with exports of services increasing more than imports of services.

$40b trade surplus

Overall, a combined visible and invisible trade surplus of $40 billion was recorded in the first quarter, up on $33.2 billion in the same quarter in 2006.

External factor income inflow and outflow amounted to $191.8 billion and $164.4 billion in the first quarter, yielding a net inflow of $27.4 billion in the first quarter, as compared with a net inflow of $8.1 billion in the same quarter last year.

A current transfer outflow of $7.4 billion and an inflow of $1.9 billion were recorded in the first quarter, resulting in a net outflow of $5.5 billion in that quarter, larger than that of $4.3 billion in the same quarter in 2006.