Balance of Payments on the Current Account
The balance of payments account records transactions between the UK and other countries. The current account is made up of:
- Trade in goods
- Trade in services
- Investment incomes
- Transfers
Balance of Payments Account
A surplus means that the total value of exports (goods / services produced in the UK sold abroad) exceeds the amount of imports (goods / services produced overseas and sold in the UK)
A deficit means the total value of exports is less than the total value of imports
