Canada’s international payments balance, Q4 2025
Canada’s Current Account Deficit Shrinks in Late 2025
In the fourth quarter of 2025, Canada’s seasonally adjusted current account deficit decreased by $4.6 billion, reaching $0.7 billion. This improvement was mainly due to a notable reduction in the goods trade deficit, although this was partially offset by smaller surpluses in both services and investment income. Despite this progress, the country’s current account has remained in deficit for 14 straight quarters.
On the financial account side, which is not seasonally adjusted, international investors continued to show robust interest in Canadian bonds during the fourth quarter.
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