Balance of Payment - BOP


 
 
Concept Explanation
 

Balance of Payment - BOP

Balance of Payment (BOP)Another important indicator of the health of any economy is its 'balance of payment statement'. A balance payment (BOP) sheet is an accounting record of all monetary transactions between a country and the rest of the world. These transactions include payments for the country's exports and imports of goods, services, financial capital as well as financial transfers.The BOP summarises international transactions for a specific period, usually a year, and is prepared in a single currency, typically the domestic currency for the country concerned.

 
 


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