The Central Bank of Estonia published balance of payments data for the first quarter of 2025 showing a pick-up in trade as foreign demand improved. Export turnover for goods and services increased by 10% year on year and import turnover rose by 11%, while the current account recorded a deficit of EUR 228 million, or 2.4% of GDP. Goods exports grew across most product groups and destination countries, with particularly strong growth towards the Netherlands, the United States, Poland and Lithuania, and improved exports to Finland and Germany, while exports to Sweden remained weak. Services export turnover increased by 5%, led by telecommunications and computer services (up 11%) and travel services (up 10%), while transport services declined mainly due to weaker road transport. On the import side, goods imports rose 11% driven by machinery and equipment, electronic goods and mineral fuels, with part of the increase attributed to one-off imports linked to national defence; services imports also increased by 11%. Despite stronger exports in the quarter, companies’ forward-looking expectations for export orders remained pessimistic, reflecting uncertainty around trade tariffs.
Central Bank of Estonia 2025-06-11
Central Bank of Estonia reports EUR 228 million current account deficit as exports rise 10% and imports 11% in Q1 2025
The Central Bank of Estonia reported a 10% year-on-year increase in export turnover for goods and services in Q1 2025, with imports rising by 11%, resulting in a current account deficit of EUR 228 million, or 2.4% of GDP. Goods exports grew notably to the Netherlands, the United States, Poland, and Lithuania, while services exports were led by telecommunications and computer services. Despite the growth, companies remain pessimistic about future export orders due to trade tariff uncertainties.