In recent years the UK’s external position has benefited greatly from a strong net inflow of income on its overseas investments. But changing economic conditions such as a US-led global slowdown could reduce this flow significantly, widening the current account deficit and possibly putting the sterling exchange rate under downward pressure.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services