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Financial Account (BoP)

The financial account on a country's balance of payments includes transactions that result in a change of ownership of financial assets and liabilities between a country’s residents and non-residents. This includes:

1.Net balance of foreign direct investment flows (FDI)

2.Net balance of portfolio investment flows (e.g. inflows/outflows of debt and equity)

3.Balance of banking flows (e.g. hot money flowing in/out of a country’s commercial banks)

4.Changes to the value of reserves of gold and foreign currency

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