The country’s external financial account posted a surplus of $6.05 billion in the first nine months of the current fiscal year.
This amount is almost twice as much as $3.13 billion registered in the same period or in July-March of the past fiscal year, latest statistics of the central bank showed.
Financial account is the third component of a country’s balance of payments (BoP) that covers claims on or liabilities to non-residents, specifically with regard to financial assets.
The two other components are current account and capital account.
Among the financial account components are foreign direct investment (FDI), portfolio investment and reserve assets broken down by the related sector.
Bangladesh Bank data also showed that both FDI and portfolio investment declined moderately in the first nine months of the current fiscal year.
At the same time, medium and long-term loans jumped by around 85 per cent in July-March of the year under review.
The surplus of financial account also reflects that there are more investment funds flowing into the country than flowing out.
Now these inflows are largely financing the huge current account deficit which stood at $7.08 billion in July-March of the current fiscal year.
