Draw up a balance of payments table similar in format to Table 13. 3 using the most recent data from any developing country (consult the IMF’s International Financial Statistics at imfstatistics.org/

imf, or for broader coverage see links in imf.org/

external/data.html for the most recent data). Explain the significance of the various entries in the current and capital accounts. What is the status of the country’s international reserves, and how do they compare with those of one year ago?

Table 13. 3

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TABLE 13.3 A Hypothetical Traditional Balance of Payments Table for a Developing Nation Item Current account Commodity exports Primary products Manufactured goods Commodity imports Primary products Manufactured goods Services (e.g., shipping costs) Investment Income Debt service payments Net remittances and transfers Balance on current account Capital account Private direct foreign investment Private loans and portfolio investments Government and multilateral flows (net) Loans Debt amortization Resident capital outflow Balance on capital account Balance on current and capital accounts Cash account Net decrease in official monetary reserves Balance on cash account Amounts (millions of dollars) 125 110 210 235 19 26 227 12 225 125 135 245 25 11 215 12 13 14 13 28 125