Investment activity of non-financial corporations is increasing but they continue to show surpluses (EUR 479 million). Surpluses were also generated by households and financial corporations, general government reduced its deficit, which altogether reflected in a large surplus of the total economy.
Total economy surplus with the rest of the world (net lending) in the third quarter of 2017 amounted to EUR 866 million or 7.8% of GDP (third quarter of 2016: EUR 515 million or 5.0% of GDP). In the first three quarters of 2017, it amounted to EUR 2,158 million or 6.7% of GDP and was EUR 558 million or 1.4% of GDP higher than in the same period of 2016.
The growth in exports in the third quarter of 2017 once again exceeded the growth in imports. Compared to the third quarter of 2016, exports nominally increased by 14.3% and imports by 12.6%. Total economy surplus with the rest of the world on goods and services account amounted to EUR 1,284 million or 11.6% of GDP. In the first three quarters of 2017, it already reached 90% of total last year’s surplus (EUR 3,326 million) and it’s well on its way to exceed last year’s highest ever value (EUR 3,701 million).
Net impact of other transactions on goods and services account (primary incomes, current transfers and capital transfers) was negative and thus decreased the total economy surplus by EUR 418 million or 3.8% of GDP.
The increase in gross value added and gross operating surplus of non-financial corporations reflected in the amount of funds that non-financial corporations have on disposal for gross fixed capital formation (and for other purposes). Investment activity is gradually increasing but lagging behind the increase in funds: in the third quarter the surplus increased and amounted to EUR 479 million or 4.3% of GDP (third quarter of 2016: EUR 378 million or 3.6% of GDP). This is one of the highest surpluses ever recorded. After two years (2015 and 2016) of reducing surplus, this trend ended in the first three quarters of 2017: compared to the first three quarters of 2016, the surplus slightly increased and amounted to EUR 617 million or 1.9% of GDP (first three quarters of 2016: EUR 549 million or 1.8% of GDP).
In the non-financial corporations sector deficit is more common than surplus, because companies usually finance one part of their investment activity with their own resources and the other with borrowing, but from 2011 onwards deficit was more an exception than a rule.
The financial corporations’ surplus in the third quarter of 2017 amounted to EUR 82 million or 0.7% of GDP, while in the third quarter of 2016 this sector generated a deficit in the amount of EUR 62 million or 0.6% of GDP. In the first three quarters of 2017, financial corporations’ surplus amounted to EUR 6 million, while in the same period of 2016 they generated a deficit in the amount of EUR 105 million. Increased distributed incomes had a major impact on the lower surplus in the first three quarters of 2017 (and also on the deficit in the entire 2016).
The general government deficit in the third quarter of 2017 amounted to EUR 19 million or 0.2% of GDP (third quarter of 2016: EUR 166 million or 1.6% of GDP). In the first three quarters of 2017, general government generated a deficit in the amount of EUR 134 million or 0.4% of GDP. The general government deficit decreased compared to the first three quarters of 2016, when it amounted to EUR 549 million or 1.8% of GDP.
Both revenues and expenditures increased; the former increased more than the latter and thus contributed to the lower deficit. Compared to the third quarter of 2016, revenues increased by 5.8% and expenditures by 2.3%. Similar movements were observed also in the first three quarters of 2017: compared to the first three quarters of 2016, revenues increased by 6.1% and expenditures by 2.8%.
Households and NPISH
Households’ gross disposable income in the third quarter of 2017 amounted to EUR 6,504 million and was 3.8% higher than in the third quarter of 2016. Relatively high growth of disposable income was recorded for the second year in a row. In 2016, it increased by 4.2% compared to 2015 and in the first three quarters of 2017 by 4.4% compared to the same period of 2016. Among components of disposable income, the increase was recorded in compensation of employees (the largest component of disposable income increased by 6.0% compared to the third quarter of 2016) and in gross operating surplus with mixed income. The former contributed 4.7% and the latter 1.6% to the growth of disposable income. The net impact of property income, current taxes on income and wealth and net social contributions on disposable income growth was negative, while the impact of other current transfers was neutral.
Households consumed part of their disposable income (final consumption expenditures increased by 5.2% compared to the third quarter of 2016), while the other part of disposable income was intended for savings. In the third quarter of 2017, the households saving rate (share of gross saving in gross disposable income) was 10.4% and was 1.3 percentage points lower than in the third quarter of 2016.
Account of Slovenia with the Rest of the World, current prices, Slovenia
Main aggregates of national accounts by institutional sectors, current prices, Slovenia