784 Glossary for TermsCurrent account The current account is the sum of "Goods", "Services", "Primary income" and "Secondary income", and shows all transactions with movements of credits/debts between residents and nonresidents. Goods and services This category is the sum of "Goods" and "Services" and shows transactions in items that are the outcome of production activities. (1) Goods This category shows exports and imports of goods, that is, transactions of goods between residents and non-residents. (2) Services This category shows transactions in "Transport", "Travel" "Finance" and Royalties for intellectual property right, etc. Primary income This category includes such income accounts as interests and dividends associated with external credits or debts. Secondary income This category shows income accounts associated with the provision of assets without reception of value between residents and non-residents, including receipts and payments of grant aids, sectors, contributions and donations of public/private sectors. Capital account The capital account, in addition to the provision of fixed assets without reception of value and debt forgiveness, include gross acquisitions/disposals of non-produced nonfinancial assets. Financial account The financial account is the sum of "Direct investment", “Portfolio investment", "Financial derivatives", "Other investment" and "Reserve assets", and shows transactions of financial assets with movements of credits/debts between residents and non-residents. Reserve position in the IMF This item covers the reserve tranche that may be drawn by IMF member countries and loans to the IMF under loan agreements that the IMF repays on demand. The reserve tranche is the part of the quota assigned to member countries that comprises currencies other than the domestic currency. Member countries may draw foreign currencies up to the amount of the reserve tranche. Because the reserve tranche may be drawn by member countries at their discretion and does not involve fees or obligations to repay the funds, the reserve tranche is included in reserve assets as "reserve assets that are readily available to the monetary authorities." Special drawing rights SDRs are international reserve assets created by the IMF to supplement gold and foreign currencies. SDRs are systematically allocated to the members of the SDR Department of the IMF in proportion to their IMF quota. Member countries may not only obtain foreign currencies from other countries in return for SDRs when their balance of payments deteriorates but also use SDRs directly for transactions and settlements. Official development assistance (ODA) "ODA" refers to concessional flows of funds given by governments or government-affiliated agencies to developing countries or international organizations, mainly for the purpose of promoting the economic and social development and improving the welfare of developing countries. Other official flows (OOF) "OOF" refers to flows of public funds that do not meet official development assistance (ODA) criteria. It mainly consists of official export credits, direct investment finance, acquisitions by governments and central monetary institutions of securities issued by multilateral development banks, etc. Private flows (PF) "PF" refers to flows of funds via private transactions, and mainly consists of private export credits, direct investments and bank lending. 7 Business Activities Establishments
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