ECONOMICS
BALANCE OF PAYMENTS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Foreign investment
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Loans
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NRI remittances
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All of these
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Detailed explanation-1: -The capital account looks at NRI deposits, loans and foreign investment.
Detailed explanation-2: -The balance of payments (BOP) is the record of all international transactions (payments and receipts) between the individuals and entities (including government) of one nation and other countries during a specific time period. The current account, the capital account, and the financial account make up a country’s BOP.
Detailed explanation-3: -The capital account consists of a nation’s transactions in financial instruments and central bank reserves.
Detailed explanation-4: -The components of the capital account include foreign investment and loans, banking, and other forms of capital, as well as monetary movements or changes in the foreign exchange reserve.