nd

Table 16.1: A summary of the current account figures for the Irish economy for 2010 Current account of Irish balance of payments (2010) Em Visible exports 82,943 Visible imports 46.448 Visible trade balance 36,495 Invisible exports 73.834 Invisible imports. -80.93.1 Profits, interest and dividends (net) -27,415 Current transfers (net) -1.222 Current account balance 76] ource: CSO June 201 1 ompany transactions. For example, the invisible trade deficit of 27,094m icludes head office charges on Irish subsidiaries for services such as R&D, mar- cting, etc. Due to these within-company overseas transactions, multinationals an engage in transfer pricing, which enables them to attribute their profits to perations in a particular country, though the actual productive activity may be courring elsewhere. The motive for transfer pricing is to minimize their tax lia- ility on profits. The sum of current incomes and payments, both visible and invisible, gives the urrent account balance, which was a surplus of 6761m for the Irish economy in 310. A surplus on current account, representing an excess of foreign earnings ver foreign expenses, suggests that a country is 'paying its way in the world'. A ficit would indicate that the country concerned was either incurring net foreign abilities or using up foreign assets to finance the deficit