Proposal for a Regulation of the European Parliament and of the Council on Community statistics concerning balance of payments, international trade in services and foreign direct investment
Date: 2003-08-20
Institutions: European Commission
Subjects: EU statistics, balance of payments, direct investment, foreign investment, international trade, service

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 20.8.2003
COM(2003) 507 final

2003/0200 (COD)

Proposal for a

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

on Community statistics concerning balance of payments, international trade in services
and foreign direct investment

.

(presented by the Commission)

1.

2.

3.

4.

5.

– 

– 

– 

– 

6.

EXPLANATORY MEMORANDUM

Article 99(3) of the Treaty requires the Commission to submit reports to the Council
in  order  to  enable  the  Council  to  monitor  economic  developments  in  each  of  the
Member  States  and  in  the  Community  as  well  as  the  consistency  of  economic
policies with certain broad guidelines.

The  Commission  has  responsibility  for  making  proposals  to  the  Council  for
implementing  the  common  commercial  policy.  It  is  also  entrusted  with  the  task  of
conducting trade  negotiations  following  authorisation from the Council.  In order  to
accomplish  these  missions,  the  Commission  needs  relevant  and  good  quality
statistical information.

Trade negotiations, including the implementation of the General Agreement on Trade
in  Services  (GATS)  and  of  the  Trade-Related  Intellectual  Property  Rights’
Agreement (TRIPs), require the availability of timely and good quality Community
statistics on Balance of Payments, International Trade in Services and Foreign Direct
Investment.

To  achieve  this,  there  is  a  need  to  establish  a  framework  for  the  systematic
production of these statistics on the basis of common quality standards.

This proposal for a Balance of Payments Regulation of the European Parliament and
the Council addresses that objective. This proposal:

includes the definitions that should be applied by Member States for their Balance of
Payments, International Trade in Services and Foreign Direct Investment data,

specifies  Member  States'  obligations  concerning  the  data  to  be  transmitted  (nature
and  sources  of  data;  quality  criteria;  reference  period,  periodicity  and  transmission
deadlines),

defines standards for the dissemination of Community statistics by the Commission,

sets  up  the  Balance  of  Payments  Committee  as  a  new  forum  for  co-operation
between  Member  States  and  the  Commission  concerning  statistics  on  Balance  of
Payments,  International  Trade  in  Services  and  Foreign  Direct  Investment.  The
European Central Bank is an observer in this Committee.

This  proposal for a Regulation  has been  thoroughly  discussed  with  Member  States'
representatives  in  the  Balance  of  Payments  Working  Party,  the  Committee  on
Monetary,  Financial  and  Balance  of  Payments  Statistics  and  the  Statistical
Programme Committee.

2

2003/0200 (COD)

Proposal for a

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

on Community statistics concerning balance of payments, international trade in services
and foreign direct investment

(Text with EEA relevance)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular
Article 285(1) thereof,

Having regard to the proposal from the Commission1,

Having  consulted  the  European  Central  Bank  in  accordance  with  Article  105(4)  of
the Treaty2,

Acting in accordance with the procedure laid down in Article 251 of the Treaty3,

Whereas:

(1) 

(2) 

(3) 

Article 99(3) of the Treaty requires the Commission to submit reports to the Council in
order to enable the Council to monitor economic developments in each of the Member
States  and  in  the  Community  as  well  as  the  consistency  of  economic  policies  with
certain broad guidelines.

Under Article 133(2) and (3) of the Treaty, the Commission must submit proposals to
the  Council  for  implementing  the  common  commercial  policy  and  the  Council  must
authorise the Commission to open the necessary negotiations.

The  implementation  and  the  review  of  trade  agreements  including  the  General
Agreement  on  Trade  in  Services  (GATS)4  and  of  the  Trade-Related  Intellectual
Property Rights’ Agreement (TRIPs)5 as well as the current and future negotiations on
further agreements call for the relevant statistical information to be made available.

1

2

3

4

5

OJ C […], […], p. […].
OJ C […], […], p. […].
OJ C […], […], p. […].
OJ L 336, 23.12.1994, p. 191.
OJ L 336, 23.12.1994, p. 214.

3

                                                
(4) 

(5) 

(6) 

(7) 

(8) 

(9) 

Council  Regulation  (EC)  No  2223/96  of  25  June  1996  on  the  European  System  of
national  and  regional  accounts  in  the  Community6  (ESA  95)  contains  the  reference
framework of common standards, definitions, classifications, and accounting rules for
drawing up the accounts of the Member States for the statistical  requirements  of  the
European Community, in order to obtain comparable results between Member States.

The Action Plan on EMU Statistical Requirements presented to the ECOFIN Council
in  September  2000  and  the  3rd,  4th  and  5th  Progress  Reports,  also  supported  by  the
ECOFIN Council, provide for quarterly European accounts by the institutional sector
within 90 days. The timely provision of quarterly balance-of-payments figures for the
euro area is a prerequisite for the compilation of these quarterly European accounts.

Council  Regulation  (EC,  Euratom)  N°  58/97  of  20  December  1996  on  Structural
Business  Statistics7  has  established  a  common  framework  for  the  collection,
compilation,  transmission  and  evaluation  of  Community  statistics  on  the  structure,
activity,  competitiveness  and  performance  of  businesses  in  the  Community  and  sets
out the variables which should be collected in this area.

Several EU legal provisions have a direct impact on the collection of statistics, such as
Regulation (EC) n° 2560/2001  of the European  Parliament  and  of  the  Council  of  19
December 2001 on cross-border payments in euro.

Collectively, the Balance of Payments Manual of the International Monetary Fund, the
Guideline  of  the  European  Central  Bank  of  2  May  2003  on  the  statistical  reporting
requirements  of  the  European  Central  Bank  in  the  field  of  balance  of  payments
statistics and international investment position statistics, and the international reserves
template8,  the  Manual  on  statistics  of  international  trade  in  services  of  the  United
Nations,  and  the  OECD  Benchmark  Definition  of  Foreign  Direct  Investment,  define
the general rules for compiling statistics on balance of payments, international trade in
services, and foreign direct investment.

According  to  Article  3(2)  of  Council  Regulation  (Euratom,  EEC)  No  1588/90  of  11
June  1990  on  the  transmission  of  data  subject  to  statistical  confidentiality  to  the
Statistical  Office  of  the  European  Communities9,  national  rules  on  statistical
confidentiality  may  not  be  invoked  to  prevent  the  transmission  of  confidential
statistical data to the Community authority (Eurostat) where an act of Community law
provides for the transmission of such data.

(10)  Article 8  of Council Regulation (EC) No 2533/98 of  23  November  1998  concerning
the collection of statistical information by the European Central Bank10 has laid down
a confidentiality regime that applies to confidential statistical information transmitted
to the European Central Bank.

6

7

8

9

10

OJ  L  310,  30.11.1996,  p.1.  Regulation  as  last  amended  by  Regulation  (EC)  No  359/2002  of
the European Parliament and of the Council (OJ L 58, 28.2.2002, p. 1).
OJ  L  14,  17.1.1997,  p.  1.  Regulation  as  last  amended  by  Regulation  (EC)  No  2056/2002  of
the European Parliament and of the Council (OJ L 317, 21.11.2002, p. 1).
OJ L 131, 28.5.2003, p. 20.
OJ  L  151,  15.6.1990,  p.  1.  Regulation  as  amended  by  Regulation 
(OJ L 52, 22.2.1997, p. 1).
OJ L 318, 27.11.1998, p. 8.

(EC)  No  322/97

4

                                                
(11)  The  production  of  specific  Community  statistics  is  governed  by  the  rules  set  out  in

Regulation No 322/97.

(12)  Since the objectives of the action to be taken, namely the creation of common statistical
quality standards for the production of comparable statistics on balance of payments,
international  trade  in  services  and  foreign  direct  investment,  cannot  be  sufficiently
achieved by the Member States and can therefore, by reason of the scale or effects of the
action, be better achieved at Community level, the Community may adopt measures, in
accordance  with  the  principle  of  subsidiarity  as  set  out  in  Article  5  of  the  Treaty.  In
accordance with the principle of proportionality, as set out in that Article, this Regulation
does not go beyond what is necessary in order to achieve those objectives.

(13)  There is a clear need to produce Community level statistics on balance  of  payments,
international trade in services and foreign direct investment which adhere to common
statistical quality standards.

(14) 

In order to guarantee the fulfilment of the obligations laid down in this Regulation, the
national institutions responsible for the collection of the data within the Member States
may  need  access  to  administrative  data  sources  such  as  enterprise  registers  held  by
other public  institutions  and  other  data  bases  containing  information  on  cross-border
transactions  and  positions,  wherever  such  data  are  necessary  for  the  production  of
Community statistics.

(15)  The measures necessary for the implementation of this Regulation should be adopted
in accordance with Council Decision 1999/468/EC of 28  June 1999  laying  down the
procedures for the exercise of implementing powers conferred on the Commission.11

HAVE ADOPTED THIS REGULATION:

Article 1
Subject matter

This  Regulation  establishes  a  common  framework  for  the  systematic  production  of
Community  statistics  on  balance  of  payments,  international  trade  in  services  and  foreign
direct investment.

Article 2
Submission of data

1.

2.

Member  States  shall  submit  to  the  Commission  (Eurostat)  data  on  balance  of
payments, international trade in services and foreign direct investment as referred to
in Annex I. The data shall be as defined in Annex II.

Member  States  shall  submit  the  data  to  the  Commission  in  accordance  with  the
deadlines shown in Annex I.

11

OJ L 184, 17.7.1999, p. 23.

5

                                                
1.

2.

3.

1.

2.

3.

4.

Article 3
Data sources

Member States shall collect the information required under this Regulation using all
the sources they consider relevant.

Natural  and  legal  persons  required  to  supply  information  shall,  when  responding,
comply  with  the  time  limits  and  definitions  set  by  the  national  institutions
responsible  for  the  collection of data  within  the  Member  States  in  accordance  with
this Regulation.

Where the required data cannot be collected at a reasonable cost, best estimates may
be transmitted.

Article 4
Quality criteria and reports

Member  States  shall  take  all  measures  necessary  to  ensure  the  quality  of  the  data
transmitted according to common quality standards.

Member States shall supply the Commission with a report on the quality of the data
transmitted (hereinafter referred to as “quality reports”).

The common quality standards, as well as the content and periodicity of the quality
reports, shall be specified in accordance with the procedure referred to in Article 11
(2)  and  taking  into  account  the  implications  as  regards  the  cost  of  collecting  and
compiling the data.

The  quality  of  the  data  transmitted  shall  be  assessed,  on  the  basis  of  the  quality
reports,  by  the  Commission  with  the  assistance  of  the  Balance  of  Payments
Committee.

Member  States  shall  inform  the  Commission  of  major  methodological  or  other
changes that would influence the data transmitted, not  later  than  three months after
any  such  change  enters  into  force.  The  Commission  shall  notify  the  other  Member
States of any such communication.

Article 5
Data Flows

The statistics to be produced shall be grouped for transmission to the Commission according
to the following data flows:

(a)

(b)

(c)

(d)

(e)

balance of payments euro indicators;

balance of payments quarterly statistics;

international trade in services;

foreign direct investments (“FDI”) flows;

FDI positions.

6

The data flows shall be as further specified in Annex I.

Article 6
Time reference and periodicity

Member  States  shall  compile  the  data  flows  according  to  the  relevant  first  reference  period
and periodicity as specified in Annex I.

Article 7
Transmission of data

Member  States  shall  transmit  to  the  Commission  the  data  required  by  this  Regulation
following  a  format  and  a  procedure  defined  by  the  Commission,  in  accordance  with  the
procedure referred to in Article 11 (2).

Article 8
Transmission and exchange of confidential data

1.

2.

The  transmission  of  confidential  data  between  Eurostat  and  the  European  Central
Bank may take place to the extent this transmission is necessary to ensure coherence
between  the  balance  of  payments  figures  of  the  European  Union  and  those  of  the
economic territory of the Member States which have adopted the single currency in
accordance with the Treaty.

The first subparagraph shall apply on condition that the European Central Bank takes
due account of the principles defined in Article 10 of Regulation (EC) N° 322/97.

The  exchange  of  confidential  data,  as  defined  by  Article  13  of  Regulation  322/97,
shall be allowed between Member States where the exchange is necessary to ensure
the quality of the balance of payments figures of the European Union.

Member States receiving confidential data from other Member States shall treat that
information confidentially.

Article 9
Dissemination

The  Commission  shall  disseminate  the  Community  statistics  produced  pursuant  to  this
Regulation, with a periodicity similar to that specified in Annex I.

Article 10
Adaptation to economic and technical progress

The measures necessary to take account of economic and technical changes shall be laid down
in accordance with the procedure referred to in Article 11 (2).

Such measures shall concern:

(a)

the updating of the definitions (Annex II);

7

(b)

the  updating  of  data  requirements,  including  submission  deadlines  as  well  as
revisions, extensions and eliminations of the data flows (Annex I).

Article 11
Committee

1.

2.

3.

4.

The Commission shall be assisted by a Committee, to be referred to as “the Balance
of Payments Committee.”

Where  reference  is  made  to  this  paragraph,  Articles  5  and  7  of  Decision
1999/468/EC shall apply, having regard to the provisions of Article 8 thereof.

The  period  referred  to  in  Article  5(6)  of  Decision  1999/468/EC  shall  be  three
months.

The Committee shall adopt its rules of procedure.

The  European  Central  Bank  may  attend  the  meetings  of  the  Committee  as  an
observer.

Article 12
Report on implementation

Within five  years of  the  entry  into  force  of  this  Regulation,  the  Commission  shall  submit  a
report to the European Parliament and the Council on the implementation of this Regulation.

In particular, the report shall:

(a)

(b)

(c)

record the quality of the statistics produced;

assess the benefits accruing to the Community, the Member States and the providers
and users of statistical information of the statistics  produced  in relation to  the their
costs;

identify  areas  for  potential  improvement  and  amendments  considered  necessary  in
the light of the results obtained.

Article 13
Entry into force

This Regulation shall enter into force on the twentieth day following that of its publication in
the Official Journal of the European Union.

Done at Brussels, […]

For the European Parliament
The President

For the Council
The President

8

ANNEX I
DATA FLOWS

1. 

BALANCE OF PAYMENTS EURO INDICATORS

BOP_EUR
Euro Indicators

Current Account

Services

Deadline: T + 2 months
Periodicity: Quarter

Credit

Debit

Net

Extra-EU Extra-EU

Extra-EU

Extra-EU Extra-EU

Extra-EU

2. 

BALANCE OF PAYMENTS QUARTERLY STATISTICS

BOP_Q
Quarterly Data

Deadline: T + 3 months
Periodicity: Quarter

Credit

Debit

Net

I.

Current Account
Goods
Services
Transport
Travel
Communications services
Construction services
Insurance services
Financial services
Computer and information services
Royalties and licence fees
Other business services
Personal, cultural and recreational services
Government services, n.i.e.

Income
Compensation of employees
Investment Income

- Direct Investment
- Portfolio Investment
- Other investment

Current transfers
General Government
Other sectors

Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1

Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1

Level 1

Level 1
Extra-EU
Extra-EU Extra-EU
Level 1
Extra-EU Extra-EU
Extra-EU Extra-EU

Level 1

Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1

Level 1
World
Extra-EU
Level 1
Extra-EU
Extra-EU

II.

Capital account

Extra-EU Extra-EU

Extra-EU

Net assets Net liabilities

Net

9

III.

Financial Account
Direct Investment
Abroad
- Equity
- Reinvested earnings
- Other capital
In the reporting economy
- Equity
- Reinvested earnings
- Other capital

Portfolio Investment
Financial derivatives
Other Investment

Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1
Level 1

Extra-EU World

Extra-EU Extra-EU

World
Extra-EU

3. 

INTERNATIONAL TRADE IN SERVICES

BOP_ITS
International Trade in Services

Deadline: T + 9 months
Periodicity: Annual

Credit

Debit

Net

Total Services

Level 3

Level 3

Transportation
Sea transport
- Passenger
- Freight
- Other
Air transport
- Passenger
- Freight
- Other
Other transport
- Passenger
- Freight
- Other
Extended classification of other transport
Space transport
Rail transport
- Passenger
- Freight
- Other
Road transport
- Passenger
- Freight
- Other
Inland waterway transport
- Passenger
- Freight
- Other
Pipeline transport and electricity transmission
Other supporting and auxiliary transport services

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 3

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

10

Travel
Business travel
- Expenditure by seasonal and border workers
- Other
Personal travel
- Health-related expenditure
- Education-related expenditure
- Other

Communications services
Postal and courier services
Telecommunications services

Construction services
Construction abroad
Construction in the compiling economy

Insurance services
Life insurance and pension funding
Freight insurance
Other direct insurance
Reinsurance
Auxiliary services

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2

Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2

Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Financial services

Level 2

Level 2

Computer and information services
Computer services
Information services
- News agency services
- Other information provision services

Royalties and license fees
Franchises and similar rights
Other royalties and license fees

Other business services
Merchanting and other trade-related services
- Merchanting
- Other trade-related services
- Operational leasing services
Miscellaneous business, professional., and technical services
- Legal, accounting, management consulting, and public relations
. Legal services
. Accounting, auditing, bookkeeping, and tax consulting services
. Business and manag. consulting and public relations services
- Advertising, market research, and public opinion polling
- Research and development
- Architectural, engineering, and other technical services
- Agricultural, mining, and on-site processing services
. Waste treatment and depollution
. Agricultural, mining, and other on-site processing services
- Other business services
- Services between related enterprises, n.i.e.

Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2

Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2

Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

11

Personal, cultural, and recreational services
Audiovisual and related services
Other personal, cultural, and recreational services
- Education services
- Health services
- Other

Government services, n.i.e.
Embassies and consulates
Military units and agencies
Other government services

Memorandum items
Audiovisual transactions

Postal services
Courier services

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2

Level 1

Level 1

Level 1
Level 1

Level 1
Level 1

Level 2
Level 2
Level 2
Level 2
Level 2
Level 2

Level 2
Level 2
Level 2
Level 2

Level 1

Level 1
Level 1

12

4. 

QUESTIONNAIRES FOR FOREIGN DIRECT INVESTMENTS (FDI) FLOWS

BOP_FDI
Direct Investment Flows (*)
A

Geographical breakdown
Item
Direct investment abroad
Equity capital
Reinvested earnings
Other capital

Direct investment abroad: Total

Direct investment in reporting economy
Equity capital
Reinvested earnings
Other capital

Direct investment in reporting economy: Total

Direct investment income
Dividends
Reinvested earn. and undistrib. branch profits
Income on debt
Direct investment income: Total

(*) Only the geographical breakdown.

BOP_FDI
Direct Investment Flows
A

Geographical breakdown
Item
Direct investment abroad
Equity capital
Reinvested earnings
Other capital

Direct investment abroad: Total

Direct investment in reporting economy
Equity capital
Reinvested earnings
Other capital

Direct investment in reporting economy: Total

Direct investment income
Dividends
Reinvested earn. And undistrib. Branch profits
Income on debt
Direct investment income: Total

Activity breakdown
Item
Direct investment abroad: Total

Direct investment in reporting economy: Total

Direct investment income: Total

510
525
530

505

560
575
580

555

332
333
334
330

510
525
530

505

560
575
580

555

332
333
334
330

B

505

555

330

Activity
breakdown

Not required
"
"

"

Not required
"
"

"

Not required
"
"
"

Activity
breakdown

Not required
"
"

"

Not required
"
"

"

Not required
"
"
"

Activity
breakdown
Level 2
Level 1
Level 2
Level 1
Level 2
Level 1

Deadline: T + 9 months
Periodicity: Year
Data type

Geograph.
Breakdown

Net
"
"

"

"
"
"

"

Credit, debit,net
"
"
"

Level 2
"
"

Level 3

Level 2
"
"

Level 3

Level 2
"
"
Level 3

Deadline: T + 21 months
Periodicity: Year
Data type

Geograph.
Breakdown

Net
"
"

"

"
"
"

"

Credit, debit,net
"
"
"

Data type

Net
“
Net
“
Credit, debit, net
“

Level 2
"
"

Level 3

Level 2
"
"

Level 3

Level 2
"
"
Level 3

Geograph.
Breakdown
Level 1
Level 2
Level 1
Level 2
Level 1
Level 2

13

5. 

QUESTIONNAIRES FOR FOREIGN DIRECT INVESTMENTS (FDI) POSITIONS

BOP_POS
Direct Investment Positions (*)
A

Geographical breakdown
Item
Direct investment assets
Equity capital and reinvested earnings
Other capital
Direct investment abroad: Total assets, net

Deadline: T+ 9 months
Periodicity: Year
Data type

Geograph.
Breakdown

Net Positions
"
"

Direct investment liabilities
Equity capital and reinvested earnings
Other capital
Direct invest. in report. Econ.: Total liabilities, net

"
"
"

(*) Only the geographical breakdown

BOP_POS
Direct Investment Positions
A

Geographical breakdown
Item
Direct investment assets
Equity capital and reinvested earnings
Other capital
Direct investment abroad: Total assets, net

Deadline: T+ 21 months
Periodicity: Year
Data type

Geograph.
Breakdown

Net Positions
"
"

Activity
breakdown

Not required
"
"

Not required
"
"

Activity
breakdown

Not required
"
"

Not required
"
"

Activity
breakdown
Level 2
Level 1
Level 2
Level 1

Level 1
"
Level 2

Level 1
"
Level 2

Level 2
"
Level 3

Level 2
"
Level 3

Geograph.
Breakdown
Level 1
Level 2
Level 1
Level 2

506
530
505

556
580
555

506
530
505

556
580
555

B

505

555

Direct investment liabilities
Equity capital and reinvested earnings
Other capital
Direct invest. in report. Econ.: Total liabilities, net

"
"
"

Activity 
Item
Direct investment abroad: Total assets, net

breakdown

Data type

Net positions

Direct invest. in report. Econ.: Total liabilities, net

Net positions

14

Level 2
World (all entities)

EU-15 (Intra-EU-15)
Extra-euro-zone
European Union Institutions
Extra-EU15
Iceland
Liechtenstein
Norway
Switzerland
Bulgaria
Croatia
Romania
Russian Federation
Turkey
Egypt
Morocco
Nigeria
South Africa
Canada
United States
Mexico
Argentina
Brazil
Chile
Uruguay
Venezuela
Israel
China
Hong Kong
India
Indonesia
Japan
South Korea
Malaysia
Philippines
Singapore
Taiwan
Thailand
Australia
New Zealand
Extra EU-15 non allocated
Offshore Financial Centers12

6. 

GEOGRAPHICAL BREAKDOWN LEVELS

A1

D2
U4
4A
D4

Level 1
World (all entities)

EU-15 (Intra-EU-15)
Extra-euro-zone
European Union Institutions
Extra-EU-15

CH

Switzerland

CA
US

Canada
United States of America

JP

Japan

Z8
C4

Extra EU-15 non allocated
Offshore Financial Centers12

12

Only for FDI.

A1

D2
U4
4A
D4
IS
LI
NO
CH
BG
HR
RO
RU
TR
EG
MA
NG
ZA
CA
US
MX
AR
BR
CL
UY
VE
IL
CN
HK
IN
ID
JP
KR
MY
PH
SG
TW
TH
AU
NZ
Z8
C4

15

                                                
EG

Egypt

LK

Sri Lanka

SG

Singapore

Eritrea
Spain
Ethiopia
Finland
Fiji
Falkland Islands (Malvinas)
Micronesia, Federated States of
Faroe Islands
France
Gabon
United Kingdom

Liberia
Lesotho
Lithuania
Luxembourg
Latvia
Lybian Arab Jamahiriya

LR
LS
LT
LU
LV
LY
MA Morocco
MD Moldova, Republic of
MG Madagascar
MH Marshall Islands
MK
13

 Macedonia, 
Republic of

the  Former  Yugoslav

ER
ES
ET
FI
FJ
FK
FM
FO
FR
GA
GB

GD
GE
GG

Level 3
7Z

International  Organisations  excluding
European Union Institutions
AD
Andorra
AE
United Arab Emirates
AF
Afghanistan
AG
Antigua and Barbuda
AI
Anguilla
Albania
AL
AM Armenia
AN
AO
AQ
AR

Netherlands Antilles
Angola
Antarctica
Argentina

AS
AT
AU

American Samoa
Austria
Australia

AW Aruba
AZ
BA
BB
BD
BE
BF
BG

Azerbaijan
Bosnia and Herzegovina
Barbados
Bangladesh
Belgium
Burkina Faso
Bulgaria

Bahrain
Burundi
Benin

BH
BI
BJ
BM Bermuda
BN
BO
BR
BS
BT
BV
BW Botswana
BY
BZ
CA

Belarus
Belize
Canada

Brunei Darussalam
Bolivia
Brazil
Bahamas
Bhutan
Bouvet Island

CC
CD

CF
CG
CH
CI
CK

Cocos (Keeling) Islands
Congo,  the  Democratic  Republic  of
the
Central African Republic
Congo
Switzerland
Côte d’Ivoire
Cook Islands

IN
IO

IQ
IR
IS
IT
JE

Chile

CL
CM Cameroon
CN
CO
CR
CU
CV
CX
CY
CZ

China
Colombia
Costa Rica
Cuba
Cape Verde
Christmas Island
Cyprus
Czech Republic

Germany
DE
Djibouti
DJ
DK
Denmark
DM Dominica
DO
DZ
EC

Dominican Republic
Algeria
Ecuador

and 

the  South

Grenada
Georgia
Guernsey  (No  official  ISO  3166-1
country code, exceptionnally  reserved
code elements)
Ghana
Gilbraltar
Greenland

GH
GI
GL
GM Gambia
Guinea
GN
Equatorial Guinea
GQ
Greece
GR
South  Georgia 
GS
Sandwich Islands
Guatemala
GT
GU
Guam
GW Guinea-Bissau
Guyana
GY
Hong Kong
HK
HM Heard Island and McDonald Islands
HN
HR
HT
HU
ID
IE
IL
IM

Honduras
Croatia
Haiti
Hungary
Indonesia
Ireland
Israel
Isle  of  Man  (No  official  ISO  3166-1
country  code,  exceptionally  reserved
code elements)
India
British Indian Ocean Territory

(No  official 

Iraq
Iran, Islamic Republic of
Iceland
Italy
Jersey 
ISO  3166-1
country code, exceptionnally  reserved
code elements)
Jamaica
Jordan
Japan
Kenya
Kyrgyzstan
Cambodia (Kampuchea)
Kiribati

JM
JO
JP
KE
KG
KH
KI
KM Comoros
KN
KP

St Kitts and Nevis
Korea, Democratic  People’s  Republic
of (North Korea)
Korea, Republic of (South Korea)

KR
KW Kuwait
KY
KZ
LA
LB
LC

Cayman Islands
Kazakstan
Lao People’s Democratic Republic
Lebanon
Saint Lucia

ML Mali
MM Myanmar
MN Mongolia

Northern Mariana Islands

MO Macau
MP
MQ Martinique
MR Mauritania
MS Montserrat
MT Malta
MU Mauritius
MV Maldives

MW Malawi
MX Mexico
MY Malaysia
MZ Mozambique
NA
NC
NE
NF
NG
NI
NL
NO
NP
NR

Namibia
New Caledonia
Niger
Norfolk Island
Nigeria
Nicaragua
Netherlands
Norway
Nepal
Nauru

NU
NZ

Niue
New Zealand

OM Oman
PA
PE
PF
PG

Panama
Peru
French Polynesia
Papua New Guinea

Philippines
Pakistan
Poland
Pitcairn
Puerto Rico
Palestinian Territory, Occupied
Portugal

PH
PK
PL
PN
PR
PS
PT
PW Palau
PY
QA

Paraguay
Qatar

Romania
Russian Federation

RO
RU
RW Rwanda
SA
SB
SC
SD

Saudi Arabia
Solomon Islands
Seychelles
Sudan

SH
SI
SK
SL
SM
SN
SO
SR
ST
SV
SY

SZ
TC
TD

St Helena
Slovenia
Slovakia
Sierra Leone
San Marino
Senegal
Somalia
Suriname
Sao Tome and Principe
El Salvador
Syrian Arab Republic

Swaziland
Turks and Caicos Islands
Chad

Togo
TG
Thailand
TH
Tajikistan
TJ
TK
Tokelau
TM Turkmenistan
Tunisia
TN
Tonga
TO
East Timor
TP

Turkey
Trinidad and Tobago
Tuvalu

Tanzania, United Republic of
Ukraine
Uganda

TR
TT
TV
TW Taiwan, Province of China
TZ
UA
UG
UM United States Minor Outlying Is
US
UY
UZ
VA
VC
VE

United States
Uruguay
Uzbekistan
Holy See (Vatican City State)
St Vincent and the Grenadines
Venezuela

VG
VI

Virgin Islands, British
Virgin Islands, US

Viet Nam
VN
VU
Vanuatu
WF Wallis and Futuna
WS
YE

Samoa
Yemen

Mayotte
Yugoslavia
South Africa

YT
YU
ZA
ZM Zambia
ZW Zimbabwe

EE

Estonia

LI

Liechtenstein

SE

Sweden

13

"Provisional code that does not affect the definitive denomination of the country to be attributed after
the conclusion of the negotiations currently taking place in the United Nations".

16

                                                
7. 

ACTIVITY BREAKDOWN LEVELS

Level 1

MINING & QUARRYING

MANUFACTURING

Petroleum, chem.ical, rubber, plastic products

Office  machinery,  computers,  RTV,  communic.
equip.

Vehicles, other transport equipment

ELECTRICITY, GAS & WATER
CONSTRUCTION
TOTAL SERVICES
TRADE AND REPAIRS

HOTELS & RESTAURANTS
TRANSPORTS, STORAGE AND COMMUNIC.

FINANCIAL INTERMEDIATION

COMPUTER & RELATED ACTIVITIES
RESEARCH & DEVELOPMENT
OTHER BUSINESS ACTIVITIES

RECREATIONAL, CULT., SPORTING ACTIV.

Level 2

ICFA

AGRICULTURE AND FISHING
MINING AND QUARRYING
Of which:
Extraction of petroleum and gas
MANUFACTURING
Food products
Textiles and wearing apparel
Wood, publishing and printing
TOTAL textiles + wood activities
Refined petroleum prod. and other treatments
Manufacture of chemicals & chemical products
Rubber and plastic products
TOTAL petroleum, chemic., rubber, plastic products
Metal products
Mechanical products
TOTAL metal and mechanical products
Office machinery and computers
Radio, TV, communication equipments
TOTAL machin., comput., RTV, comm. equip.

Motor vehicles
Other transport equipment
TOTAL vehicles + other transport equipment
Manufacturing n.i.e.
ELECTRICITY, GAS AND WATER
CONSTRUCTION
TOTAL SERVICES
TRADE AND REPAIRS
Sale, maintenance and repair of motor vehicles and motor cycles; retail sale of automotive fuel
Wholesale trade and commission trade, except of motor vehicles and motor cycles
Retail trade, except of motor vehicles and motor cycles; repair of personal and household goods
HOTELS AND RESTAURANTS
TRANSPORTS, STORAGE AND COMMUNICATION
Transport and storage
Land transport; transport via pipelines
Water transport
Air transport
Supporting and auxiliary transport activities; activities of travel agencies
Post and telecommunications
Post and courier activities
Telecommunications
FINANCIAL INTERMEDIATION
Financial intermediation, except insurance and pension funding
Insurance and pension funding, except compulsory social security
Activities auxiliary to financial intermediation
REAL ESTATE ACTIVITIES
RENTING  OF  MACHINERY  AND  EQUIPMENT  WITHOUT  OPERATOR  AND  OF
PERSONAL AND HOUSEHOLD GOODS
COMPUTER AND RELATED ACTIVITIES
RESEARCH AND DEVELOPMENT
OTHER BUSINESS ACTIVITIES
Legal, account., market research, consultancy
Legal activities
Account., bookkeeping and audit.; tax consult.
Market research and public opinion polling
Business and manag. consultancy activities
Architectural, engineering and other tech. act.
Advertising
Business activities n.e.c.

EDUCATION
HEALTH AND SOCIAL WORK
SEWAGE AND REFUSE DISPOSAL
ACTIVITIES OF MEMBERSHIP ORGANIS. N.E.C.
RECREATIONAL, CULT., SPORTING ACTIVITIES
Motion picture, radio, tel., other entertain. activ.
News agency activities
Library, archives, museums, other cultural act.
Sporting and other recreational activities
OTHER SERVICE ACTIVITIES

Not allocated

NACE rev. 1

Sec A, B
Sec C

Div 11
Sec D
Subsection DA
Subsection DB
Subsections DD & DE

Div 23
Div 24
Div 25

Subsection DJ
Div 29

Div 30
Div 32

Div 34
Div 35

Sec E
Sec F

Sec G
Div 50
Div 51
Div 52
Sec H
Sec I
Div 60, 61, 62, 63
Div 60
Div 61
Div 62
Div 63
Div 64
Group 641
Group 642
Sec J
Div 65
Div 66
Div 67
Sec K, Div 70
Sec K, Div 71

Sec K, Div 72
Sec K, Div 73
Sec K, Div 74
Group 741
Class 7411
Class 7412
Class 7413
Class 7414, 7415
Group 742
Group 744
Group  743,  745,  746,
747, 748
Sec M
Sec N
Sec O, Div 90
Sec O, Div 91
Sec O, Div 92
Group 921, 922, 923
Group 924
Group 925
Group 926, 927
Sec O, Div 93

17

ANNEX II
DEFINITIONS

GOODS (CODE 100)

The goods component of the  Balance of Payments Current Account covers moveable  goods
for  which  change  of  ownership  (between  residents  and  non-residents)  occur.  These  goods
should be measured at market value on an f.o.b. basis. Exceptions to the change of ownership
rule  (transactions  in  these  items  are  recorded  in  goods)  include:  goods  on  financial  lease,
goods transferred between a parent enterprise and a branch, and some goods for processing.
Intra-EU Trade in Goods: the partner country should be defined according to the consignment
principle.

It includes: general merchandise, goods  for  processing, repairs on  goods,  goods  procured in
ports by carriers, and non monetary gold.

SERVICES (CODE 200)

- Transportation (code 205)

Covers all transportation services that are performed by residents of one economy for those of
another and that involve the carriage of passengers, the movement of goods (freight), rentals
(charters) of carriers with crew, and related supporting and auxiliary services.

- Sea Transport (code 206)

Covers  all  transportation  services  by  sea.  The  following  breakdown  is  required:  Passenger
Sea Transport (code 207), Freight Sea Transport (code 208) and Other Sea Transport (code
209).

- Air Transport (code 210)

Covers  all  transportation  services  provided  by  air.  The  following  breakdown  is  required:
Passenger  Air  Transport  (code  211),  Freight  Air  Transport  (code  212)  and  Other  Air
Transport (code 213).

- Other transport (code 214)

Covers  all  transportation  services  not  provided  by  sea  or  air.  The  following  breakdown  is
required: Passenger on Other Transport (code 215), Freight on Other Transport (code 216)
and Other on Other Transport (code 217)

An extended classification for Other Transport (code 214) is required as follows:

- Space Transport (code 218)

Includes  satellite  launches  undertaken  by  commercial  enterprises  for  the  owners  of  the
satellites  (such  as  telecommunication  enterprises)  and  other  operations  performed  by
operators  of  space  equipment,  such  as  transport  of  goods  and  people  for  scientific
experiments.  Also  included  is  space  passenger  transport  and  the  payments  made  by  an
economy in order to have its residents included on the space vehicles of another economy.

18

- Rail Transport (code 219)

Covers  transport  by  trains.  A  further  sub-division  between  Passenger  Rail  Transport  (code
220), Freight Rail Transport (code 221) and Other Rail Transport (code 222) is required.

- Road Transport (code 223)

Covers  transport  by  lorries,  trucks,  buses  and  coaches.  A  further  sub-division  between
Passenger Road Transport (code 224), Freight Road  Transport  (code 225) and Other Road
Transport (code 226) is required.

- Inland Waterway Transport (code 227)

Relates to international transportation on rivers, canals and lakes. Included are waterways that
are internal to one country and those that are shared among two or more countries. A further
sub-division  between  Passenger  Inland  Waterway  Transport  (code  228),  Freight  Inland
Waterway  Transport  (code  229)  and  Other  Inland  Waterway  Transport  (code  230)  is
required.

- Pipeline Transport and Electricity Transmission (code 231)

Covers  international  transport  of  goods  in  pipelines.  Also  included  are  charges  for  the
transmission of electricity when this is separate from the production and distribution process.
The  provision  of  electricity  itself  is  excluded,  as  is  the  provision  of  petroleum  and  related
products,  water  and  other  goods  supplied  through  pipelines.  Also  excluded  are  distribution
services  of  electricity,  water,  gas  and  other  petroleum  products  (included  in  Other  business
services, Other business services (code 284)).

- Other Supporting and Auxiliary Transport Services (code 232)

Other supporting and auxiliary transport services covers all other transportation services that
cannot be allocated to any of the components of transportation services described above.

- Travel (code 236)

Travel  covers  primarily  the  goods  and  services  acquired  from  an  economy  by  travellers
during visits of less than one year to that economy. The goods and services are purchased by,
or on behalf  of,  the  traveller  or provided, without a quid pro quo  (that  is,  are  provided  as a
gift), for the traveller to use or give away. Excluded are transportation of travellers within the
economies that they are visiting, where such transportation is provided by carriers not resident
in the particular economy being visited, as well as the international carriage of travellers, both
of  which  are  covered  in  passenger  services  under  transportation.  Also  excluded  are  goods
purchased by a traveller for resale in the traveller’s own economy or in any other economy.
Travel  is  divided  in  two  sub-components:  Business  Travel  (code  237)  and  Personal  Travel
(code 240).

- Business Travel (237)

Business  travel  covers  the  acquisition  of  goods  and  services  by  business  travellers.  Also
includes the acquisition of goods and services for personal use by seasonal, border and other
workers  who  are  not  resident  in  the  economy  in  which  they  are  employed  and  whose
employer  is  resident  in  that  economy.  Business  travel  is  further  dissagregated  into

19

Expenditure  by  seasonal  and  border  workers  (code  238)  and  Other  Business  Travel  (code
239).

- Expenditure by seasonal and border workers (code 238)

Includes the acquisition of goods and services for personal use by seasonal, border and other
workers,  who  are  not  resident  in  the  economy  in  which  they  are  employed  and  whose
employer is resident in that economy.

- Other Business Travel (code 239)

Covers  all  Other  Bussines  Travel  (code  237)  not  included  in  Expenditure  by  seasonal  and
border workers (code 238).

- Personal Travel (code 240)

Personal  travel  covers  goods  and  services  acquired  by  travellers  going  abroad  for  purposes
other than business, such as holidays, participation in recreational and cultural activities, visits
with friends and relations, pilgrimage, and education- and health-related purposes. Personal
Travel (code 240) is divided in three sub-components: Health-related Expenditure (code 241),
Education-related expenditure (code 242) and Other Personal Travel (code 243).

- Health-related Expenditure (code 241)

It is defined as the total expenditure by those travelling for medical reasons.

- Education-related expenditure (code 242)

It is defined as the total expenditure by students.

- Other Personal Travel (code 243)

Covers all Personal Travel (code 240) not included in Health-related Expenditure (code 241)
or Education-related expenditure (code 242).

- Other services (981)

All Services (code 200) not included in Transportation (code 205) or Travel (code 236).

- Communication services (code 245)

They  comprise  Postal  and  Courier  Services  (code  246)  and  Telecommunication  Services
(code 247).

- Postal and Courier Services (code 246)

Comprises Postal Services (958) and Courier Services (959).

- Postal Services (code 958)

Includes poste  restante  services,  telegram  services  and  post  office  counter  services,  such  as
sales of stamps, money orders etc. Postal services are often, but not exclusively, supplied by
national  postal  administrations.  Postal  services  are  subject  to  international  agreements,  and
the flows between operators of different economies should be recorded on a gross basis.

20

- Courier Services (code 959)

Courier services focuses on express and door-to-door delivery. Couriers may use self-owned,
privately  shared  or  public  transportation  to  carry  out  these  services.  Included  are  express
delivery  services,  which  might  include,  for  example,  on-demand  pick-up  or  time-definite
delivery.

- Telecommunications Services (code 247)

Encompasses  the  transmission  of  sound,  images  or  other  information  by  telephone,  telex,
telegram,  radio  and  television  cable  and  broadcasting,  satellite,  electronic  mail,  facsimile
services  etc.,  including  business  network  services,  teleconferencing  and  support  services.  It
does not include the value of the information transported. Also included are cellular telephone
services, Internet backbone services and on-line access services, including provision of access
to the Internet.

- Construction services (code 249)

Comprises  Construction  Abroad  (code  250)  and  Construction  in  the  Compiling  Economy
(code 251).

- Construction Abroad (code 250)

Construction  abroad  comprises  the  construction  services  provided  to  non-residents  by
enterprises resident in the compiling economy (credit) and the goods and services purchased
in the host economy by these enterprises (debit).

- Construction in the Compiling Economy (code 251)

Comprises  construction  services  provided  to  residents  of  the  compiling  economy  by
nonresident  construction  enterprises  (debit)  and  the  goods  and  services  purchased  in  the
compiling economy by these non-resident enterprises (credit).

- Insurance Services (code 253)

Covers  the  provision  of  various  types  of  insurance  to  non-residents  by  resident  insurance
enterprises,  and  vice  versa.  These  services  are  estimated  or  valued  by  the  service  charges
included in  total  premiums rather  than  by the  total  value  of  the  premiums.  It  comprises  life
insurance  and  pension  funding  (code  254),  freight  insurance  (code  255),  other  direct
insurance (code 256), reinsurance (code 257) and auxiliary services (code 258) to insurance.

- Life Insurance and Pension Funding (code 254)

Life  insurance  policies,  both  with  profit  and  without  profit,  make  regular  payments  to  an
insurer (there may be just a single payment), in return for which the insurer guarantees to pay
the policy holder an agreed minimum sum or an annuity, at a given date or at the death of the
policy  holder,  if  this  occurs  earlier.  Term  life  insurance,  where  benefits  are  provided  in  the
case of death but in no other circumstances, is a form of direct insurance, and is excluded here
and included in other insurance.

21

Pension  funds  are  separate  funds  established  for  the  purpose  of  providing  income  on
retirement  for  specific  groups  of  employees.  They  are  organized  and  directed  by  private  or
public  employers  or  jointly  by  employers  and  their  employees.  They  are  funded  by
contributions from the employer and/or the employees and by the investment income earned
on fund assets, and they also engage in financial transactions on their own account. They do
not  include  social  security  schemes  organized  for  large  sections  of  the  community  that  are
imposed, controlled  or financed by  general  government.  Pension  fund  management  services
are  included.  In  the  case  of  pension  funds,  "premiums"  are  generally  described  as
"contributions", while "claims" are generally described as "benefits".

- Freight Insurance (code 255)

Freight  insurance  services  relate  to  insurance  provided  on  goods  that  are  in  the  process  of
being exported or imported, on a basis that is consistent with the measurement of goods f.o.b.
and freight transportation.

- Other direct insurance (code 256)

Other  direct  insurance  covers  all  other  forms  of  casualty  insurance.  Included  are  term  life
insurance;  accident  and  health  insurance  (unless  these  are  provided  as  part  of  government
social  security  schemes);  marine,  aviation  and  other  transport  insurance;  fire  and  other
property  damage;  pecuniary  loss  insurance;  general  liability  insurance;  and  other  insurance,
such as travel insurance and insurance related to loans and credit cards.

- Reinsurance (code 257)

Reinsurance is the process of subcontracting parts of the insurance risk, often to specialized
operators,  in  return  for  a  proportionate  share  of  the  premium  income.  Reinsurance
transactions may relate to packages t3hat mix several types of risks.

- Auxiliary services (code 258)

Comprises  transactions  that  are  closely  related  to  insurance  and  pension  fund  operations.
Included  are  agents’  commissions,  insurance  brokering  and  agency  services,  insurance  and
pension consultancy services, evaluation and adjustment services, actuarial services, salvage
administration services, and regulatory and monitoring services on indemnities and recovery
services.

- Financial Services (code 260)

Financial services covers financial intermediation and auxiliary services, except those of life
insurance  enterprises  and  pension  funds  (which  are  included  in  life  insurance  and  pension
funding) and other insurance services that are conducted between residents and non-residents.
Such services may be provided by banks, stock exchanges, factoring enterprises, credit card
enterprises  and  other  enterprises.  Included  are  services  provided  in  connection  with
transactions  in  financial  instruments,  as  well  as  other  services  related  to  financial  activity,
such as advisory, custody and asset management services.

- Computer and information services (code 262)

Comprises Computer services (code 263) and Information services (code 264).

22

- Computer services (code 263)

Consists of hardware and software-related services and data-processing services. Included are
hardware and software consultancy  and implementation services; maintenance  and  repair  of
computers  and  peripheral  equipment;  disaster  recovery  services,  provision  of  advice  and
assistance on matters related to the management of computer resources; analysis, design and
programming  of  systems  ready  to  use  (including  web  page  development  and  design),  and
technical  consultancy 
to  software;  development,  production,  supply  and
documentation  of  customized  software,  including  operating  systems  made  on  order  for
specific users; systems maintenance and other support services, such as training provided as
part of consultancy; data-processing services, such as data entry, tabulation and processing on
a  time-sharing  basis;  web  page  hosting  services  (i.e.,  the  provision  of  server  space  on  the
Internet to host clients’ web pages); and computer facilities management.

related 

- Information services (code 264)

Comprises News Agency Services (code 889) and Other information provision services (code
890).

- News Agency Services (code 889)

News agency services include the provision of news, photographs, and feature articles to the
media.

- Other information provision services (code 890)

Includes database services - database conception, data storage and the dissemination of data
and  databases  (including  directories  and  mailing  lists),  both  on-line  and  through  magnetic,
optical  or  printed  media;  and  web  search  portals  (search  engine  services  that  find  internet
addresses  for  clients  who  input  keyword  queries).  Also  included  are  direct,  non-bulk
subscriptions to newspapers and periodicals, whether by mail, electronic transmission or other
means.

- Royalties and license fees (code 266)

Comprises  Franchises  and  similar  rights  (code  891)  and  Other  royalties  and  license  fees
(code 892).

- Franchises and similar rights (code 891)

Comprises international payments and receipts of franchising fees  and the royalties paid  for
the use of registered trademarks

- Other royalties and license fees (code 892)

Includes  international  payments  and  receipts  for  the  authorised  use  of  intangible,  non-
produced,  non-financial  assets  and  proprietary  rights  (such  as  patents,  copyrights  and
industrial processes and designs) and with the use, through licensing agreements, of produced
originals or prototypes (such as manuscripts, computer programs, and cinematographic works
and sound recordings).

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- Other business services (code 268)

Comprises  Merchanting  and  other  trade-related  services  (code  269),  Operational  leasing
services  (code  272)  and  Miscellaneous  business,  professional,  and  technical  services  (code
273).

- Merchanting and other trade-related services (code 269)

Comprise Merchanting (code 270) and Other trade-related services (code 271)

- Merchanting (code 270)

Merchanting  is  defined  as  the  purchase  of  a  good  by  a  resident  of  the  compiling  economy
from a non-resident and the subsequent resale of the good to another non-resident; during the
process, the good does not enter or leave the compiling economy.

- Other trade-related services (code 271)

Covers  commissions  on  goods  and  service  transactions  between  (a)  resident  merchants,
commodity brokers, dealers, and commission agents and (b) non-residents.

- Operational leasing services (code 272)

Covers resident/non-resident leasing (rental) and charters, without operators, of ships, aircraft
and transportation equipment, such as railway cars, containers and rigs, without crew.

- Miscellaneous business, professional, and technical services (code 273)

Comprises  Legal,  accounting,  management  consulting,  and  public  relations  (code  274),
Advertising,  market  research  and  public  opinion  polling  (code  278),  Research  and
development (code 279), Architectural, engineering and other technical services (code 280),
Agriculture, mining, and other on-site processing (code 283), Other  business services  (code
284) and Services between related enterprises, n.i.e. (code 285).

- Legal, accounting, management consulting, and public relations (code 274)

Comprises Legal services (code 275), Accounting, auditing, bookkeeping and tax consultancy
services  (code  276)  and  Business  and  management  consulting  and  public  relations  services
(code 277).

- Legal services (code 275)

Covers  legal  advisory  and  representation  services  in  any  legal,  judicial  and  statutory
instruments;  certification
procedures;  drafting  services  of 
consultancy; and escrow and settlement services.

legal  documentation  and 

- Accounting, auditing, bookkeeping and tax consultancy services (code 276)

Covers  the  recording  of  commercial  transactions  for  businesses  and  others;  examination
services of accounting records and financial statements; business tax planning and consulting;
and preparation of tax documents.

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- Business and management consulting and public relations services (code 277)

Covers  advisory,  guidance  and  operational  assistance  services  provided  to  businesses  for
business  policy  and  strategy  and  the  overall  planning,  structuring  and  control  of  an
organization.  Included  are  management  auditing;  market  management,  human  resources,
production  management  and  project  management  consulting;  and  advisory,  guidance  and
operational services related to improving the image of the clients and their relations with the
general public and other institutions.

- Advertising, market research and public opinion polling (code 278)

Services  transacted  between  residents  and  non-residents  covers  the  design,  creation  and
marketing  of  advertisements  by  advertising  agencies;  media  placement,  including  the
purchase  and  sale  of  advertising  space;  exhibition  services  provided  by  trade  fairs;  the
promotion of products abroad; market research; telemarketing; and public opinion polling on
various issues.

- Research and development (code 279)

Covers those services that are transacted between residents and non-residents and associated
with  basic  research,  applied  research  and  experimental  development  of  new  products  and
processes.

- Architectural, engineering and other technical services (code 280)

Covers  transactions  between  residents  and  non-residents  related  to  architectural  design  of
urban and other development projects; planning and project design and supervision of dams,
bridges,  airports,  turnkey  projects  etc.;  surveying;  cartography;  product  testing  and
certification; and technical inspection services.

- Agriculture, mining and on-site processing services (code 281)

Comprises  Waste  treatment  and  depollution  (code  282)  and  Agriculture,  mining,  and  other
on-site processing (code 283).

- Waste treatment and depollution (code 282)

Includes the treatment of radioactive and other waste; stripping of contaminated soil; cleaning
up  of  pollution  including  oil  spills;  restoration  of  mining  sites;  and  decontamination  and
sanitation services. Also included are all other services that relate to the cleaning or restoring
of the environment.

- Agriculture, mining, and other on-site processing (code 283)

Comprises:

(a) Agricultural services that are incidental to agriculture, such as the provision of agricultural
machinery  with  crew,  harvesting,  treatment  of  crops,  pest  control,  animal  boarding,  animal
care,  and  breeding  services.  Services  in  hunting,  trapping,  forestry  and  logging,  and  fishing
are also included here.

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(b) Mining services provided at oil and gas fields, including drilling, derrick building, repair
and  dismantling  services,  and  oil  and  gas  well  casing  cementing.  Services  incidental  to
mineral prospecting and exploration, as well as mining engineering and geological surveying,
are also included here.

(c)  Other  on-site  processing  services,  which  covers  on-site  processing  of  or  work  on  goods
that have  been  imported  without  change  of  ownership,  processed  but  not  re-exported  to  the
country from which the goods  were consigned  (but are instead  either sold in the processing
economy or sold to a third economy) or vice versa.

- Other business services (code 284)

Covers  services  transactions  between  residents  and  non-residents,  such  as  the  placement  of
personnel,  security  and  investigative  services,  translation  and  interpretation,  photographic
services, building cleaning, real estate services to businesses and any other business services
that cannot be classified to any of the business services listed above.

- Services between related enterprises, n.i.e. (code 285)

It  is  a  residual  category.  It  covers  payments  between  related  enterprises  for  services  that
cannot be specifically classified to any other component. It includes payments from branches,
subsidiaries and associates to their parent enterprise or other related enterprises that represent
contributions  to  the  general  management  costs  of  the  branches,  subsidiaries  and  associates
(for  planning,  organizing  and  controlling)  and  also  reimbursements  of  expenses  settled
directly by parent enterprises. Also included are transactions between parent enterprises and
their branches, subsidiaries and associates to cover overhead expenses.

- Personal, cultural and recreational services (code 287)

Comprises  Audiovisual  and  related  services  (code  288)  and  Other  personal,  cultural  and
recreational services (code 289).

- Audiovisual and related services (code 288)

Comprises services and associated fees related to the production of motion pictures (on film
or  videotape),  radio  and  television  programmes  (live  or  on  tape)  and  musical  recordings.
Included are receipts or payments for rentals; fees received by resident actors, producers etc.
for productions abroad (or by non-residents for work carried out in the compiling economy);
fees  for  distribution  rights  sold  to  the  media  for  a  limited  number  of  showings  in  specified
areas;  and  access  to  encrypted  television  channels  (such  as  cable  services).  Fees  to  actors,
directors  and  producers  involved  with  theatrical  and  musical  productions,  sporting  events,
circuses  and  other  similar  events  and  fees  for  distribution  rights  (for  television,  radio,  and
film) for these activities are included.

- Other personal, cultural and recreational services (code 289)

Comprises  Education  services  (code  895),  Health  services  (code  896)  and  Other  on  Other
personal, cultural and recreational services (code 897).

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- Education services (code 895)

Comprises services supplied between residents and non-residents relating to education, such
as correspondence courses and education via television or the Internet, as well as by teachers
etc. who supply services directly in host economies.

- Health services (code 896)

Comprises  services  provided  by  doctors,  nurses  and  paramedical  and  similar  personnel,  as
well as laboratory and similar services, whether rendered remotely or on-site. Excluded is all
expenditure by travellers on education and health (included in travel).

- Other on Other personal, cultural and recreational services (code 897)

Is a residual category covering Other personal, cultural and recreational services (code 289)
not included in Education services (895) and Health services (code 896).

- Government services, n.i.e. (code 291)

It  is  a  residual  category  covering  government  transactions  (including  those  of  international
organizations) not contained in the other components of EBOPS as defined above.  Included
are all transactions (in both goods and services) by embassies, consulates, military units and
defence  agencies  with  residents  of  economies  in  which  the  embassies,  consulates,  military
units  and  defence  agencies  are  located  and  all  transactions  with  other  economies.  Excluded
are  transactions  with  residents  of  the  home  economies  represented  by  the  embassies,
consulates,  military  units  and  defence  agencies,  and  transactions  in  the  commissaries,  post
exchanges and these embassies and consulates.

A breakdown of  this item into services transacted  by  Embassies  and  consulates  (code  292),
services transacted by Military units and agencies (code 293) and Other government services
n.i.e. (code 294) is required.

INCOME (CODE 300)

Income  covers  two  types  of  transactions  between  residents  and  non-residents:  (i)  those
involving  compensation  of  employees,  which  is  paid  to  non-resident  workers  (e.g.  border,
seasonal and  other short-term  workers), and (ii) those  involving  investment  income  receipts
and payments on external financial assets and liabilities.

- Compensation of employees (code 310)

Compensation of employees comprises wages, salaries, and other benefits, in cash or in kind,
earned by individuals - in economies other than  those in  which  they  are  resident -  for  work
performed for (and paid for by) residents of those economies. Included are contributions paid
by employers, on behalf of employees, to social security schemes or to private insurance or
pension funds (whether funded or unfunded) to secure benefits for employees.

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- Investment Income (code 320)

Investment income is income derived from ownership of external financial assets and payable
by  residents  of  one  economy  to  residents  of  another  economy.  Investment  income  includes
interest, dividends, remittances of branch profits, and direct investors’ shares of the retained
earnings  of  direct  investment  enterprises.  Investment  income  should  be  classified  by  direct,
portfolio and other investment components.

- Direct investment income (code 330)

Direct  investment  income  namely  income  on  equity  and  income  on  debt  covers  income
accruing  to  a  direct  investor  resident  in  one  economy  from  ownership  of  direct  investment
capital in an enterprise in another economy. Income on direct investment is presented on a net
basis for both direct investment abroad and in the reporting economy (i.e. receipts of income
on  equity  and  income  on  debt  less  payments  on  income  on  equity  and  income  on  debt  for
each).  Income on equity is subdivided into  (i) distributed  income  (dividends and distributed
branch profits), and (ii) reinvested earnings and undistributed branch profits. Income on debt
consists  of  interest  payable  -  on  intercompany  debt  -  to  /  from  direct  investors  from/  to
associated  enterprises  abroad.  Income  on  nonparticipating  preference  shares  is  treated  as
interest income, rather than dividend income, and is included in income on debt.

- Dividends and distributed branch profits (code 332)

Dividends, including stock dividends, are the distribution of earnings allocated to shares and
other  forms  of  participation  in  the  equity  of  incorporated  private  enterprises,  co-operatives,
and public corporations. Distributed income may be in the form of dividends on common or
preferred shares owned by direct investors in associated enterprises abroad, or vice versa.

- Reinvested earnings and undistributed branch profits (code 333)

Reinvested  earnings  comprise  direct  investors’  shares  -in  proportion  to  equity  held-  of  (i)
earnings that foreign subsidiaries and associated enterprises do not distribute as dividends and
(ii)  earnings  that  branches  and  other  unincorporated  enterprises  do  not  remit  to  direct
investors.  (If  that  part  of  earnings  is  not  identified,  all  branch  earnings  are  considered,  by
convention, to be distributed).

- Income on debt (code 334)

Income  on  debt  consists  of  interest  payable—on  intercompany  debt—to  /  from  direct
investors from/ to associated enterprises abroad. Income on nonparticipating preference shares
is treated as interest income, rather than dividend income, and is included in income on debt.

- Equity capital and reinvested earnings abroad (code 506)

Equity  capital  comprises  equity  in  branches,  all  shares  (whether  voting  or  nonvoting)  in
subsidiaries and associates (except nonparticipating, preferred shares that are treated as debt
securities and included under other direct investment capital), and other capital contributions.
Reinvested  earnings  consist  of  the  direct  investor’s  share  (in  proportion  to  direct  equity
participation)  of  earnings  not  distributed  as  dividends  by  subsidiaries  or  associates  and
earnings of branches not remitted to the direct investor.

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- Equity capital and reinvested earnings in the reporting economy (code 556)

Equity  capital  comprises  equity  in  branches,  all  shares  (whether  voting  or  nonvoting)  in
subsidiaries and associates (except nonparticipating, preferred shares that are treated as debt
securities and included under other direct investment capital), and other capital contributions.
Reinvested  earnings  consist  of  the  direct  investor’s  share  (in  proportion  to  direct  equity
participation)  of  earnings  not  distributed  as  dividends  by  subsidiaries  or  associates  and
earnings of branches not remitted to the direct investor.

- Portfolio investment income (code 339)

Portfolio  investment  income  comprises  income  transactions  between  residents  and  non-
residents and is derived from holdings of shares, bonds, notes, and money market instruments
This category is subdivided into income on equity (dividends) and income on debt (interest).

- Other investment income (370)

Other  investment  income  covers  interest  receipts  and  payments  on  all  other  resident  claims
(assets)  on  and  liabilities  to  non-residents,  respectively.  This  category  also  includes,  in
principle,  imputed  income  to  households  from  net  equity  in  life  insurance  reserves  and  in
pension funds. Interest on assets comprises interest on long- and short-term loans, on deposits,
on other commercial and financial claims, and on an economy’s creditor position in the IMF.
Interest  on  liabilities  covers  interest  on  loans,  on  deposits,  and  on  other  claims  and  interest
related to the use of IMF credit and loans form the IMF. Also included is interest paid to the
IMF on the Fund’s SDR holdings in the General Resources Account.

- Current transfers (code 379)

Current  transfers  are  offset  items  to  unilateral  transactions  in  which  one  economic  entity
provides  a  real  resource  or  a  financial  item  to  another  entity  without  receiving  any  real
resource or financial item in exchange. These resources are immediately consumed or shortly
consumed  after  the  transfer  is  made.  Current  transfers  are  all  transfers  that  are  not  capital.
Current transfers are classified according to the sector of the compiling economy into general
government and other sectors.

- General government current transfers (code 380)

General  government  transfers  comprise  current  international  cooperation,  which  covers
current  transfers  –  in  cash  or  in  kind  -  between  governments  of  different  economies  or
between governments and international organizations.

- Other sectors (code 390)

Current  transfers  between  other  sectors  of  an  economy  and  non-residents  comprise  those
occuring  between  individuals,  between  non-governmental  institutions  or  organizations  (or
between the two  groups), or between non-resident governmental  institutions  and  individuals
or non-governmental institutions.

- Capital account (code 994)

The  capital  account  covers  all  transactions  that  involve  the  receipt  or  payment  of  capital
transfers and acquisition/disposal of non-produced, non-financial assets .

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- Financial account (code 995)

The  financial  account  covers  all  transactions  associated  with  changes  of  ownership  in  the
foreign financial assets and liabilities of an economy. Such changes include the creation and
liquidation of claims on, or by the rest of the world. All components are classified according
to  type  of  investment  or  by  functional  subdivision  (direct  investment,  portfolio  investment,
financial derivatives, other investment, reserve assets).

DIRECT INVESTMENT (CODE 500)

Foreign direct investment is the category of international investment that reflects the objective
of  a  resident  entity  in  one  economy  (direct  investor)  obtaining  a  lasting  interest  in  an
enterprise  resident  in  an  economy  other  than  that  of  the  investor  (direct  investment
enterprise).  “Lasting  interest”  implies  the  existence  of  a  long-term  relationship  between  the
direct investor and the enterprise and a significant degree of influence by the investor on the
management  of  the  direct  investment  enterprise.  Direct  investment  comprises  the  initial
transaction  between  the  two  entities  -  that  is,  the  transaction  that  establishes  the  direct
investment relationship – and all subsequent transactions between them and among affiliated
enterprises, both incorporated and unincorporated.

- Direct Investment abroad (code 505)

Direct  investment  is  classified  primarily  on  a  directional  basis  –  resident  direct  investment
abroad and non-resident investment in the reporting economy.

- Equity capital (code 510)

Equity  capital  comprises  equity  in  branches,  all  shares  (whether  voting  or  nonvoting)  in
subsidiaries and associates (except nonparticipating, preferred shares that are treated as debt
securities and included under other direct investment capital), and other capital contributions.
Equity  capital  also  covers  the  acquisition  by  a  direct  investment  enterprise  of  shares  in  its
direct investor.

- Reinvested earnings (code 525)

Reinvested  earnings  consist  of  the  direct  investor’s  share  (in  proportion  to  direct  equity
participation)  of  earnings  not  distributed  as  dividends  by  subsidiaries  or  associates  and
earnings  of  branches  not  remitted  to  the  direct  investor.  These  reinvested  earnings  are
recorded as income with an offsetting capital transaction.

- Other direct investment capital (code 530)

Other direct investment capital (or intercompany debt transactions) covers the borrowing and
lending of funds - including debt securities , suppliers’ credits and nonparticipating preferred
shares  (which  are  treated  as  debt  securities)  -  between  direct  investors  and  subsidiaries,
branches,  and  associates.  Debt  claims  on  the  direct  investor  by  the  direct  investment
enterprise are also recorded as direct investment capital.

- Direct investment in the reporting economy (code 555)

Direct  investment  is  classified  primarily  on  a  directional  basis  –  resident  direct  investment
abroad and non-resident investment in the reporting economy.

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- Equity capital (code 560)

Equity  capital  comprises  equity  in  branches,  all  shares  (whether  voting  or  nonvoting)  in
subsidiaries and associates (except nonparticipating, preferred shares that are treated as debt
securities and included under other direct investment capital), and other capital contributions.
Equity  capital  also  covers  the  acquisition  by  a  direct  investment  enterprise  of  shares  in  its
direct investor.

- Reinvested earnings (code 575)

Reinvested  earnings  consist  of  the  direct  investor’s  share  (in  proportion  to  direct  equity
participation)  of  earnings  not  distributed  as  dividends  by  subsidiaries  or  associates  and
earnings  of  branches  not  remitted  to  the  direct  investor.  These  reinvested  earnings  are
recorded as income with an offsetting capital transaction.

- Other direct investment capital (code 580)

Other direct investment capital (or intercompany debt transactions) covers the borrowing and
lending of funds - including debt securities, suppliers’ credits and nonparticipating preferred
shares  (which  are  treated  as  debt  securities)  -  between  direct  investors  and  subsidiaries,
branches,  and  associates.  Debt  claims  on  the  direct  investor  by  the  direct  investment
enterprise are also recorded as direct investment capital.

PORTFOLIO INVESTMENT (600)

Portfolio  investment  covers  transactions  in  equity  and  debt  securities.  Debt  securities  are
subdivided into bonds and notes, money market instruments, and financial derivatives  when
the derivatives generate financial claims and liabilities. Unless they are categorized either as
direct investment or as reserve assets.

- Financial derivatives (code 910)

A  Financial  derivatives  contract  is  a  financial  instrument  that  is  linked  to  another  specific
financial  instrument  or  indicator  or  commodity  and  through  which  specific  financial  risks
(such  as  interest  rate  risk,  foreign  exchange  risk,  equity  and  commodity  price  risks,  credit
risks, etc.) can, in their own right, be traded in financial markets.

OTHER INVESTMENT (CODE 700)

The  other  investment  item  is  defined  as  a  residual  category  that  includes  all  financial
transactions  not  covered  in  direct  investment,  portfolio  investment,  financial  derivatives  or
reserve assets accounts.

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