Current account posted a relatively high surplus in April as outflow of dividends unexpectedly decreased and did not compensate a high trade surplus. Dividend pay-out season usually begins in the Czech Republic in March and results in a gap in the income balance that is a part of the current account. However, income balance reached a surprisingly small deficit so far this year.
On the other hand, trade balance posted a record-high surplus as exports outpaced imports supported by improving conditions in the Euro zone.
Current account gap reached 1.0% of GDP last year. We assume that it can decline to 0.6% of GDP this year.