Question

Which of the following constitutes an accommodating item in the BoP?

पर्याय

• Unilateral transfers

• Foreign Direct Investment (FDI)

• Exports of services

• Changes in foreign exchange reserves

Answer 1

Accommodating items include borrowings from the IMF or other international institutions and changes in foreign exchange reserves. Exports of services, unilateral transfers, and FDI are all autonomous items.