current account

Discipline: Economics

Current account is the sum of a country's trade balance and unilateral flows, such as foreign aid or interest payments.

Current account measures the flow of goods, services, and payments in and out of the country. If the exports (and unilateral inflows) exceed imports (and unilateral outflows), the country will have a current account surplus. If the imports (and unilateral outflows) exceed exports (and unilateral inflows), the country will have a current account deficit.

Also see: balance of payments, trade balance

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