Balance of payments/Addendum
According to the IMF Balance of Payments Manual the balance of payments is made up of transactions involving: goods, services and income; financial claims and liabilities; and gifts classified as transfers, and comprises two main groups of accounts:
- a current account pertaining to goods and services, income, and current transfers; and
- a capital and financial account pertaining to capital transfers and assets and financial assets and liabilities.
In principle the balance of payments can be influenced by four possible policy measures