The balance on the current account for the Rest of the World sector1 is shown in Figure 6.1. In the sector accounts this account is presented from the point of view of the rest of the world2.
The current account deficit for the rest of the world in 2016 should be matched, in accounting terms, by a financial account surplus. However, the errors and omissions term in the statistics for the rest of the world sector arises because of discrepancies between the financial and current accounts. This is reported in the summary tables as the difference between B.9 and B.9F (€7,690m in 2016). This same discrepancy is also reported for the total domestic economy (S.1) but with the opposite sign.
|Current Account Balance|
Figure 6.2 shows the net financial position of the rest of the world vis-à-vis Ireland during 2006 to 2016. The sector decreased its net asset position vis-à-vis Ireland by €25.9bn during the year 2016 to €484.7bn representing a 5.1% decrease from the 2015 net position.
|Assets (left axis)||Liabilities (left axis)||Net Financial Position (right axis)|
2A current account deficit in the rest of the world account is the equivalent of a current account surplus in the balance of payments presentation.
3This corresponds to a net international investment position with the rest of the world of -€484.7bn, where Gold is excluded.