Jörg Bibow — Euro Crisis Sees Reloading Of Germany’s Current Account Surplus

Who is running the largest current account surplus in the world? China? Saudi Arabia? Both wrong! These are only the number two and three countries. China had a record $420bn surplus in 2008, but that imbalance has more than halved since. As a share of GDP China’s external imbalance is down from ten to two-and-a-half percent since the global crisis — evidence of a remarkable rebalancing. The oil price would need to be significantly higher still to make Saudi Arabia the number one.

So for 2012 the number one prize actually goes to: Germany!

Multiplier Effect
Euro Crisis Sees Reloading Of Germany’s Current Account Surplus
Jörg Bibow