This article provides insights into recent trends in Australia’s current account, trade balance and net primary income position using detailed data from the Balance of Payments and International Investment Position publication.
The current account reflects Australia’s transactions with the rest of the world in a given period. It consists of two components:
- goods and services (imports and exports); and
- income (primary and secondary).
Countries which record a trade surplus have greater exports than imports in a given reference period (net exporter); while countries which record a trade deficit have greater imports than exports in a given reference period (net importer). Trade balances are then measured against the balance of income payments into and out of the country to provide the current account balance.
Australia’s current account surplus increased by $581m to $12.3b in the March quarter 2023. This reflected a higher trade surplus partly offset by an increase in the net primary income deficit.
a. Seasonally adjusted estimates in current price terms.