Table I

Balance of Payments (IMF presentation)

A

Goods and services:

Freight and Insurance

Transport

Travel

Investment income

B Unilateral/Unrequited Transfers

Gifts

Remittances

Aid

balance on current

account

(equal to the change

in net claims with respect to the rest of the world)

C

Capital transactions

Investment: portfolio, direct Transactions in liquid assets Accomodating flows

Other terminology

A

B

Balance on trade

Balance on unilateral transactions

Balance on current account

A + B

=

Вс

Вк

Вс

+ B.

BK

K

Basic balance

Balance on long-run capital

BM

Monetary balance

Bc +

C

B. + B.

K

BM

Bc + BK

Balance of Payments on autonomous transactions

Balance on accomodating flows

Identity of balance

B

A

B. + B

M

A

0

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