29
Nov
10

Current Account Deficit- Switzerland

The diagram below shows the current account balance in terms of percentage of GDP in Switzerland over the last 20 years. In the early 80’s, Switzerland’s current account balance was relatively low, indicating that it had a surplus. Over time however, Switzerland’s current account balance began to increase. In the last 5 years or so, the current account balance declined significantly and it is currently about 9%. Switzerland reports a current account surplus, which indicates that it is spending less. A current account surplus indicates that the country is spending a lot. A high percentage of GDP indicates a deficit, in which imports is greater than exports. A low percentage of GDP indicates a surplus, in which exports is greater than imports. Swiss main exports are: medicinal and pharmaceutical products, watches and clocks, machinery for special industry and tools.

This article discusses the significance of Switzerland’s enormous current account surplus.
http://www.highbeam.com/doc/1P3-1643011111.html

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1 Response to “Current Account Deficit- Switzerland”


  1. 1 Sami
    November 30, 2010 at 5:39 AM

    Kanika
    This blog post is very informative. It is good that our two countries show opposite features in terms of their current account. I think you should have talked about your article a little more, because people would be interested in what is happening in Switzerland.


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