BALANCE OF PAYMENT DATA SHEET PG 1/2

PG 1 TTD
ITEM DATA
1 IMPORTS OF MANUFACTURED GOODS 988.0
2 IMPORTS OF PETROLEUM PRODUCTS 6462.0
3 IMPORTS OF CHEMICALS 608.0
4 OTHER IMPORTS 3572.0
5 EXPORTS 12200.0
6 TRAVEL ABROAD 200.0
7 EXP. BY HOTEL AND GUEST HOUSE VISITORS 460.0
8 INSURANCE SERVICES PROVIDED TO CARICOM COUNTRIES 140.0
9 INSURANCE SERVICEES PROVIDED BY R.O.W 30.0
10 INTEREST EARNED ON EXTERNAL SECURITIES 213.0
11 INTEREST EARNED ON INVESTMENTS ABROAD 260.0
12 DIVIDENDS AND PROFITS PAID TO THE R.O.W 370.0
13 DIVIDENDS AND PROFITS RECEIVED FROM THE R.O.W 60.0
14 ADVERTISING CREDIT 28.0
15 ADVERTISING DEBIT 106.0
16 RECEIPTS FROM INTERNATIONAL INSTITUTIONS 120.0
17 PAYMENTS TO INTERNATIONAL INSTITUTIONS 118.0
18 CENTRAL GOVERNMENT FOREIGN EXPENDITURE 824.0
19 REMITTANCES SENT TO RELATIVES ABROAD 200.0
20 CURRENT UNREQUITED TRANSFERS CREDIT 126.0
21 CONTRIBUTIONS TO INTERNATIONAL INSTITUTIONS 11.0
22 PRIVATE SECTOR DIRECT INVESTMENT INFLOWS 600.0
23 PRIVATE SECTOR DIRECT INVESTMENT OUTFLOWS 400.0
LOANS FROM INTERNATIONAL INSTITUTIONS TO GOVERNMENT OF
24 T&T 250.0
25 REPAYMENTS ON EXTERNAL DEBT 50.0
26 GOVT LOANS TO CARIBBEAN COUNTRIES 235.0
27 LOAN REPAYMENTS TO TT BY CARIBBEAN COUNTRIES 10.0
28 GOVERNMENT & CENTRAL BANK RESERVES (CREDIT ) 300.0
29 GOVERNMENT & CENTRAL BANK RESERVES (DEBIT ) 705.0
Use the Data provided to prepare a BOP Statement PG 2/2
Find the Items in the Data Sheet in the Central Bank's BOP
Assign the values against the appropriate items in the credit column or the
debit column

Understand the structure of the BOP statement (go to central bank site)

http://www.central-bank.org.tt/content/balance-payments-trinidad-and-tobago-2010

See the Worked Example (BOP Example -sheet 2 and compare your results)
See the Summary BOP (Net ) format (sheet 3)
Use the Example and the Summary to understand the Central Bank's BOP
Statements
Notice that the Total Credits and Total Debits are equal

To calculate the Net Errors and Omissions and the Overall Balance
Net Current Account Balance
+ Net Capital and Financial Account Balance
+ Change in Reserves
+ Net Errors and Omissions
=0

where Net Current Account Balance + Net Capital and

Financial Account Balance + Net Errors and Omissions =
Overall Balance

Net Current Account Balance

+ Net Capital and Financial Account Balance
+ Net Errors and Omissions
= - Change in Reserves
Overall Balance = - Change in Reserves

note that a negative change in Reserves means an increase in

Reserves
note that the Overall surplus or deficit is minus the change in
Reserves
where the change in Reserves is negative (meaning it has increased),
then the Overall Balance will be positive
 WORKED EXAMPLE
BALANCE OF PAYMENTS STATEMENT
CURRENT ACCOUNT CREDIT DEBIT NET
1 GOODS 570
Merchandise 12200 11630

2 SERVICES [2.1+2.2+2.3+2.4] -530

2.1 Travel 460 200
2.2 Insurance Services 140 30
2.3 Other Services-Advertising 28 106
2.4 Other Government-of which 120 942
2.4.1 Payments to International Institutions 118
2.4.2 Receipts from International Institutions 120
2.4.3 Central Gov't Foreign Expenditure 824

3 INVESTMENT INCOME of which: 163

interst earned on external securities 213
interst earned on investments abroad 260
Dividends and Profits 60 370

4 CURRENT UNREQUITED TRANSFERS 126 211 -85

5 CURRENT ACCOUNT BALANCE (1+2+3+4) 13607 13489 118

CAPITAL ACCOUNT =[6+7]

6 PRIVATE SECTOR DIRECT INVESTMENT 600 400 200
7 OFFICIAL SECTOR -25
7.1 Official Borrowing 250 50
7.2 Official Loans 10 235
8 CAPITAL ACCOUNT BALANCE 860 685 175

9 NET ERRORS AND OMMISSIONS 112 0 112

10 OVERALL BALANCE 14579 14174 405

11 CHANGE IN RESERVES 300 705 -405

12 TOTAL 14879 14879 0
 PG 4

BALANCE OF PAYMENTS SUMMARY STATEMENT

CURRENT ACCOUNT NET

1 GOODS -MERCHANDISE ACCOUNT 570.0
2 SERVICES -530.0
3 INVESTMENT INCOME 163.0
4 CURRENT UNREQUITED TRANSFERS -85.0
5 NET CURRENT ACCOUNT BALANCE 118.0

CAPITAL ACCOUNT
6 PRIVATE SECTOR DIRECT INVESTMENT 200.0
7 OFFICIAL SECTOR -25.0
7.1 OFFICIAL BORROWING 200.0
7.2 OFFICIAL LOANS -225.0
NET CAPITAL ACCOUNT BALANCE 175.0

8 NET ERRORS AND OMISSIONS 112.0

9 OVERALL SURPLUS OR DEFICIT 405.0

FINANCING
10 CHANGE IN RESERVES -405.0

note that a negative Change in Reserves means an increase in Reserves

note that the Overall Surplus or Deficit is minus the Change in Reserves
where the Change in Reserves is negative,
then the Overall Balance will be positive.
Balance of Trade = 570

Current Account Balance (includes Merch. Trade) = 118

Capital Account Balance = 175
Change in Reserves = - 405
Net Errors and Omissions = 112
Balance of Payments = 0