Other investment debt flows are important since the vast majority of external bank flows are in this category.<sup>18</sup> Crucially, this category also includes some cross-border loans to corporates and loans to sovereigns, such as IMF credit.<sup>19</sup> In most countries, sovereigns tend to borrow externally primarily via bonds, which appear under the portfolio debt category. When bond financing to emerging market borrowers, including governments, dries up, emerging market sovereigns rely more on loans.<sup>20</sup> In order to get a larger, longer, and balanced panel of countries with debt flows split by sector, we proceed with the following methodology for our data filling exercise. When the BOP data contains the total for the category and for three out of the four sectors, we take the total and subtract the 3 reported sectors in order to obtain the fourth sector. For the remaining observations where the sector data is still missing, we construct measures of portfolio debt and other investment debt inflows by sector from several alternative datasets.<sup>21</sup> One such dataset is the data from BIS on debt securities issued in international markets, which we use to fill in the portfolio debt flows series. Another one is the BIS dataset on cross-border Other Equity..., Debt Instruments, ...”. For example, the full label for other investment debt for Other Sectors (which we refer to as “Corporates”) is “Financial Account, Other Investment, Other Equity, Net Incurrence of Liabilities, Debt Instruments, Other Sectors, US Dollars”. The letter codes (EDD2 Codes) for these variables are BFOLOO ~~B~~ P6 ~~U~~ SD, BFOLOGFR ~~B~~ P6 ~~U~~ SD, BFOLODC ~~B~~ P6 ~~U~~ SD, and BFOLOCBFR ~~B~~ P6 ~~U~~ SD. On the asset flow side, these variables are BFOADO ~~B~~ P6 ~~U~~ SD, BFOADG ~~B~~ P6 ~~U~~ SD, BFOADDC ~~B~~ P6 ~~U~~ SD, and BFOADCB ~~B~~ P6 ~~U~~ SD.In reality, other investment equity (which is usually very small) is the only category within other investment that is not split by borrowing sector. We thank Gian-Maria Milesi-Ferretti and IMF Statistics for helping us uncover this.

> 18Milesi-Ferretti and Tille (2011) and Cerutti et al. (2015) separate out the banking sector within other investment debt category to investigate this category on its own.

19Other studies examining gross capital inflows using only BOP data sometimes exclude official reserves and IMF credit in order to focus on private inflows (see Forbes and Warnock (2012), Bluedorn, Duttagupta, Guajardo, and Topalova (2013), and Milesi-Ferretti and Tille (2011) for example). Milesi-Ferretti and Tille (2011) additionally exclude central bank loans and deposits. Bluedorn et al. (2013) analyze private flows by removing reserves, IMF credit, and most government-related components included under the other investment debt category from total 20Figure C1 in Appendix C shows that this is the case during the global financial crisis.

> 21The capital flight literature also uses techniques of internal filling with the BOP and external filling with other datasets in order to identify unreported private capital flows. See Chang, Claessens, and Cumby (1997) for a discussion. See also Claessens and Naud ́e (1993).

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