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Gifts, remittances, grants, and donations recorded in the Balance of Payments are classified as:

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Question

Gifts, remittances, grants, and donations recorded in the Balance of Payments are classified as:

Options

  • Visible items

  • Unilateral transfers

  • Portfolio investments

  • Invisible items

MCQ
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Solution

Unilateral transfers include gifts, remittances, grants, donations, etc. They are one-sided transactions recorded in the Current Account along with visible items and invisible items.

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