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Monday, August 06, 2018, 23:47
China sees current account deficit in H1
By Xinhua
Monday, August 06, 2018, 23:47 By Xinhua

This undated photo shows the headquarters of the State Administration of Foreign Exchange (SAFE), in Beijing, China. (PHOTO / XINHUA)

BEIJING – China continued to see a current account deficit in the first half of 2018 mainly due to the strong domestic need for overseas services. 

China has taken steps to improve its trade in services, including gradually opening up its finance, education, culture, and medical sectors

The deficit in the current account stood at US$28.3 billion in the January-June period, down from US$34.1 billion in the first quarter, the State Administration of Foreign Exchange (SAFE) said Monday in an online statement. 

China's service trade posted a deficit of US$147.3 billion, up from US$73.6 billion three months earlier. 

The spending on trips, transport, and intellectual property rights contributed to the bulk of the deficit. 

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China has taken steps to improve its trade in services, including gradually opening up its finance, education, culture, and medical sectors. 

SAFE said China's international balance of payments was within a range of equilibrium last quarter and will continue to remain reasonable in the future. 

China saw a goods trade surplus of US$155.9 billion in H1. 

ALSO READ: China current account surplus in reasonable range in Q1

The data also showed stable cross-border capital inflows in the second quarter. China's financial account maintained net inflows, with a surplus of US$18.2 billion. Net foreign direct investment stood high at US$58.6 billion.

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