December 2025
Intermediate to advanced
561 pages
27h 17m
English
book
International Financial Management: An Analytical Framework, 2nd Edition by Pearson
by Thummuluri Siddaiah
Content preview from International Financial Management: An Analytical Framework, 2nd Edition by Pearson
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THE BALANCE OF PAYMENTS: IMPLICATIONS FOR EXCHANGE RATES 103
The BOP Structure
The current account, the capital account, and the reserves, which constitute the structure of
India’s BOP, are presented in a summary form below.
The Current Account The current account records the following:
• Merchandisetrade, which consists of the merchandise debit representing the import of
goods and the merchandise credit relating to the export of goods.
• Services, which include travel (expenditure by foreign tourists in India on the receipts
side,andexpenditurebyIndiantouristsabroadonthepaymentsside);transportation
(receipts and payments on account of goods and natural persons, as well as other dis-
tributiveserviceslikeportcharges,
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