The export growth accelerated in September for the second straight month as demand for garments, textiles and rubber products increased.

Overseas sales increased 20.4 percent to $854 million from a year earlier, after advancing 19.1 percent in August, the Central Bank said in a statement yesterday.

The central bank on Nov. 16 left interest rates unchanged for a tenth straight month to boost domestic demand.
Earnings from textiles and garment exports rose 13.7 percent in September from a year earlier, according to the central bank statement. Overseas sales of rubber products increased 37.3 percent..

Earnings from exports rose to US$ 854 million, reflecting a year-on-year growth of 20.4 percent, while the expenditure on imports increased by 61.3 percent to US$ 1.759 billion in September 2011.

In the first nine months of 2011, the cumulative earnings from exports increased by 27.7 percent to US$ 7.820 billion and expenditure on imports have increased by and 51.8 percent to US$ 14.685 million resulting in a deficit of US$ 6.865 billion, the figures released by the Economic Research Department of the Central Bank showed.

Exports of garments and textiles, diamond and jewelry, rubber products and food, beverages and tobacco were the main contributors to exports income.

According to the Central Bank, earnings from exports of textiles and garments increased by 13.7 percent while diamond and jewelry increased considerably by 88.7 percent in September 2011.

The exports of rubber products increased by 37.3 percent, and exports of food, beverages and tobacco increased by 48 percent for the same period.

The increase in import expenses was mainly attributed to petroleum imports due to the rising oil prices. Expenses on imports of machinery and equipment also heavily contributed to the deficit in trade, the Central bank review said.
However, for the first nine months of 2011, earnings from tourism grew at a healthy rate of 48 percent to US$ 580 million compared to the corresponding period of 2010.

During the first nine months, country's workers remitted 25.9 percent more to state coffers amounting to US$ 3.782 billion over the same period of 2010.

The expansion in exports of services and increased workers' remittances helped contain the impact of the trade deficit on the current account.

The Central Bank said the country's total external reserves, which include gross official reserves and foreign assets of commercial banks, increased to US$ 8.584 billion by end of September 2011.