Sierra Leone: Current account, percent of GDP
* indicates monthly or quarterly data series
Sierra Leone |
Current account balance as percent of GDP |
---|---|
Latest value | -6.10 |
Year | 2023 |
Measure | percent |
Data availability | 1980 - 2023 |
Average | -9.78 |
Min - Max | -65.03 - 10.71 |
Source | African Development Bank |
The latest value from 2023 is -6.1 percent, an increase from -8.3 percent in 2022. In comparison, the world average is -2.25 percent, based on data from 110 countries. Historically, the average for Sierra Leone from 1980 to 2023 is -9.78 percent. The minimum value, -65.03 percent, was reached in 2011 while the maximum of 10.71 percent was recorded in 1986.
See the global rankings for that indicator or
use the country comparator to compare trends over time.
Select indicator
* indicates monthly or quarterly data series
Recent data
Historical series
The current account of Sierra Leone and other countries has three components: 1) the exports of goods and services minus the imports of goods and services; 2) the difference of incomes that countries pay to each other; and 3) the difference in transfers that countries make to each other. Current account deficits are reported with a minus sign and surpluses are reported with a plus sign.
A current account deficit means that the country needs to find financing for its imports. The foreign currencies it receives from selling products abroad are not enough to pay for the products it wants to buy from other countries. The needed amounts of foreign currencies can be obtained by, for example, borrowing. For instance, in the last several years the U.S. has been borrowing money from China in order to buy Chinese products.
This is not necessarily a problem. The current account deficit starts to be a problem if it exceeds 3-4 percent of GDP for many years. Over that time, the country accumulates a significant amount of foreign debt that eventually has to be repaid.
A current account deficit means that the country needs to find financing for its imports. The foreign currencies it receives from selling products abroad are not enough to pay for the products it wants to buy from other countries. The needed amounts of foreign currencies can be obtained by, for example, borrowing. For instance, in the last several years the U.S. has been borrowing money from China in order to buy Chinese products.
This is not necessarily a problem. The current account deficit starts to be a problem if it exceeds 3-4 percent of GDP for many years. Over that time, the country accumulates a significant amount of foreign debt that eventually has to be repaid.
Definition: Current account balance is the sum of net exports of goods and services, net primary income, and net secondary income.
Selected articles from our guide:
What factors determine the exchange rates
International lending and sovereign debt
All articles
Related indicators | Latest | Reference | Measure |
---|---|---|---|
Terms of trade | 120.80 | 2021 | percent |
Trade openness | 107.75 | 2023 | percent |
Financial openness | -1.242 | 2021 | index points |
Exports, percent of GDP | 40.47 | 2023 | percent |
Exports, billion dollars | 1.54 | 2023 | billion U.S. dollars |
Growth of exports | 16.33 | 2023 | percent |
Imports, percent of GDP | 67.28 | 2023 | percent |
Imports, billion dollars | 2.56 | 2023 | billion U.S. dollars |
Foreign Direct Investment, percent of GDP | 7.18 | 2022 | percent |
Foreign Direct Investment, billion dollars | 0.29 | 2022 | billion U.S. dollars |
Portfolio investment inflows, equities | 0.00 | 2022 | million dollars (current) |
Current account, percent of GDP | -6.10 | 2023 | percent |
Current account, in dollars | -0.16 | 2022 | billion U.S. dollars |
Trade balance, percent of GDP | -24.34 | 2022 | percent |
Trade balance, in dollars | -0.82 | 2022 | billion U.S. dollars |
Reserves | 0.50 | 2023 | billion U.S. dollars |
Remittances, percent of GDP | 6.10 | 2023 | percent |
Remittances | 232.35 | 2023 | million U.S. dollars |
Net errors and omissions | -320.44 | 2022 | million USD |
External debt | 48.94 | 2022 | percent |
Short-term external debt | 6.93 | 2022 | percent |
Short-term debt to reserves | 25.88 | 2022 | percent |
Foreign exchange reserves | 10,744.47 | 5/2024 | billion |