The seasonally adjusted current account deficit narrowed to $2.5 billion for the September 2012 quarter, Statistics New Zealand said today. This compares with a deficit of $2.8 billion in the previous quarter. The current account measures New Zealand's transactions with the rest of the world. A current account deficit means that the rest of the world earned more from New Zealand than New Zealand earned from overseas. The smaller deficit this quarter was mainly due to a fall in profits earned by foreign-owned companies in New Zealand. These profits can be reinvested in New Zealand, or returned overseas as dividends. ... (full story)