Major Item Definitions

The following definitions specify what is included in the items coded in the data set.

 

As defined in Volumes 1-4

Current Account

Item 6: Investment Income

-covers income from investment net of taxes paid to the country in which the

asset is situated

Item 6.1: Direct Investment

-cover income on direct investments

-includes income from commercial real estate

-represents the net earnings on the foreign equity, whether transferred abroad or

reinvested

-undistributed profits and interest and dividends due but not transferred are offset

by a contra-entry in the capital account; undistributed profits not included in vol. 1

Item 6.2: Other Interest

-covers receipts and payments of interest on both government and private account

-includes charges on IMF advances and interest and other charges on IBRD loans and

debentures

Item 6.3: Income on Portfolio Investment

-covers dividends on equity capital, including both common and preferred stock

-covers net income from noncommercial real estate and the income of partnerships

Capital Account

Item 11: Long-term Capital (Private)

-11.1: direct investment

-does not cover offices that act as agents rather than principals

-control of a subsidiary in country Y by residents of country X is inferred if:

    1. 50% or more of the voting stock is owned by residents X
    2. 25% or more of the voting stock is concentrated in the hands of a single holder or organized group of holders in X
    3. residents of X have a controlling voice in its policies

-includes commercial real estate owned abroad by residents of the reporting

country

-11.2 and 11.3: Portfolio Securities (bonds and shares)

-government and corporate bonds and shares, excluding direct investment

-bonds: represent a form of creditor capital which involves an obligation on the

part of the debtor to pay interest

-shares: equity capital which carries rights of proprietorship…but involves no

repayment obligations except in the case of liquidation

-includes all private purchases of existing securities from foreigners or sales to them

-includes all new issues abroad of private domestic securities

-includes all private purchases of new issues of foreign securities in the domestic market

-11.4: Amortization

-covers all contractual periodic repayments of corporate bonds, foreign government bonds, and other obligations

-does not include amortization of obligations of the domestic government

-11.5: Other contractual repayments

-nonperiodic contractual repayments of obligations, including repurchases by

the debtor

-11.6: Other

-covers transactions in foreign investments not covered by items 11.1 through

11.5

-includes transactions in non-commercial real estate and mortgages

Item 12: Short-term Capital (Private)

-covers movements in the short-term foreign assets and liabilities of resident

individuals and businesses other than banks

-assets included: deposits in foreign banks, holdings of short-term government and

corporate obligations and commercial claims; holdings of foreign notes and coin are

also included

-liabilities included: short-term commercial obligations and debts to banks

-also includes trade bills, acceptances, and other short-term claims arising from

financing of exports and imports

 

 

Item 13: Long-term Capital (Official and Banking Institutions)

-13.1: Sale of vested assets

-covers official loans to foreign official and banking institutions and cover

drawings and noncontractual repayments

-includes cover drawings and noncontractual repayments of loans received by

official institutions of the reporting country from all sources

-includes new obligations of official institutions issued in foreign markets

-13.2: Other portfolio securities

-covers drawings and non-contractual repayments of loans extended by

domestic banks to official and banking institutions abroad

-also covers loans received by domestic banks from all sources

-13.3: Loans

-includes purchases and sales abroad by official and banking institutions of

foreign portfolio securities (assets) and of existing domestic obligations

(liabilities)

-includes noncontractual repurchases of securities for purposes of retirement

-13.4 and 13.5: Amortization and Other contractual repayments

-cover contractual repayments of portfolio securities and other loans

-13.6: Other

-includes direct investments of official and banking institutions

-includes subscriptions to the IMF and IBRD

-includes loans to foreign private persons and institutions

-does not include interbank deposits

-does not include additional payments of local currency to the IMF and IBRD to

maintain the gold value of holdings

 

 

As defined in Volumes 5-12

Goods and Services

Item 6: Investment income

-defined as in vol. 1-4

-includes direct investment income as explained in sub-item 11.1 in the previous set

of volumes

-intended to include interest and dividends earned form foreign subsidiaries, the

undistributed net profits of subsidiaries, and the total net profits of branches

Capital and Monetary Gold

Items 11 and 13: Long-term Capital (Private)

-includes intercompany accounts, which are nominally short-term, as well as long-

term creditor and equity investment

-includes as defined in 11.2 and 11.3 of vol. 1-4

Items 12 and 14: Short-term Capital (Private)

-includes as defined in Item 12 of vol. 1-4

Items 15 and 17: Long-term Capital (Official and Banking)

-include official lending and borrowing, repayments on official loans, transactions in

long-term securities by the official and banking institutions of the reporting country, and original gold, U.S. dollar, and local currency subscriptions to the IMF and the IBRD

-does not include additional payments of local currency to the IMF and IBRD to maintain the gold value of holdings

 

 

As defined in Volumes 13-23

Goods and Services

Item 6: Investment Income

-defined as in vol. 5-12, Item 6

-direct investment is shown as separate subitem, but defined as in vol. 5-12, Item 6

-defined as investment in enterprises located in one country but effectively

controlled by residents of another country

Capital and Monetary Gold

Note: Movements of capital and monetary gold are classified by institution, five sectors of the reporting country being distinguished. The transactions attributed to each sector are those that represent changes in its assets and liabilities, and not necessarily those conducted by the sector itself. For assets, the sector classification in fact indicates the domestic transactor. For liabilities the sector classification indicates the domestic transactor if he is the debtor with respect to the financial item in which the transaction takes place.

 

 

Item 11: Direct Investment Capital

-as defined in Item 6

-includes intercompany accounts, which are nominally short-term, as well as long-

term creditor and equity investment

Item 12: Other Private Long-term Capital

-covers all transactions in assets or liabilities (other than direct investment) with an

original maturity of more than 12 months on which the domestic private sector is creditor or debtor

-includes as defined in Item 11.2 and 11.3 of vol. 1-4

Item 13: Other Private Short-term Capital

-covers changes in assets or liabilities (other than direct investment) with an original

maturity of 12 months or less on which the domestic private sector is creditor or debtor

-changes are defined as changes in outstanding liabilities and assets, adjusted to

exclude valuation changes

-includes as defined in Item 12 of vol. 1-4

Item 14: Local Government

-covers the capital transactions of all government entities except the central

government, including governments of states and provinces within a federation, nation, or commonwealth which is the reporting unit

-principal types of transaction are most likely to involve loans or securities

Item 15: Central Government

-covers almost all transactions in assets and liabilities of central government

institutions, except in public enterprises that are assigned to the private sector and monetary institutions, which are included in the monetary sector

-includes public enterprises financially integrated with the government, and those nonmonetary institutions that have been established primarily as instruments of government policy

-there are several exceptions to these inclusions, the principal exceptions made uniformly for all countries are as follows:
    1. Subscriptions and liabilities to the IMF are shown in the central monetary institutions’ sector, regardless of whether the transactions are carried out by such institutions or by the central government
    2. Government subscriptions to international nonmonetary organizations, e.g., the IBRD, IFC, and IDA, are allocated to the central government nonmonetary sector. However, liabilities to these organizations are classified according to the sector that is nominally the debtor, i.e., no exception is made to the institutional criterion for sector attribution in the case of these liabilities.
    3. All changes in payments agreement balances, whether they reflect balances under agreements in effect during the reporting period or repayments of balances that arouse in previous periods, are included in the monetary sector.
    4. Obligations issued in the domestic market by the central governments of the reserve centers, which, (when held abroad) usually constitute reserve assets in the creditor country, are allocated to the sector for central monetary institutions.
    5. Local currency liabilities, such as those to the United States arising from purchase of surplus agricultural products under U.S. Public Law 83-480, that are mainly earmarked for grants or loans to the reporting country are assigned to the central government sector, even though these liabilities almost invariably take the form of deposits with the central bank or commercial banks.