Palestine's current account deficit slightly widened to USD 444.7 million in the third quarter of 2018 from USD 443.7 million in the same period a year earlier, a preliminary result showed. It was the largest current account deficit since the second quarter 2017, as the services account gap rose to USD 265.9 million in Q3 2018 from USD 247.9 million in the same period of 2017. Meantime, the goods account deficit decreased to USD 1,178.9 million from USD 1,254.7 million in Q3 2017. On the other hand, the current transfer surplus increased to USD 467.1 million from USD 417 million in Q3 2017 while the income surplus went up to USD 608.8 million from USD 558.6 million in the same period of 2017. Current Account in Palestine averaged -537.46 USD Million from 2000 until 2016, reaching an all time high of 764.40 USD Million in the fourth quarter of 2008 and a record low of -1516.00 USD Million in the fourth quarter of 2004.
Current Account in Palestine is expected to be -395.00 USD Million by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Current Account in Palestine to stand at -420.00 in 12 months time. In the long-term, the Palestine Current Account is projected to trend around -450.00 USD Million in 2020, according to our econometric models.