Balance of payments: balances

Euro - Millions

Balance of payments

Years Current account Financial account

Financial
Capital derivatives
account (other than
Primary Secondary Direct Portfolio reserves)
Total Goods Services Total
income income investment investment and
employee
2010 -18,260.1 -19,267.1 6,462.7 -5,730.1 274.4 2,498.1 -15,354.3 -9,216.1 11,265.1 stock
-359.8
2011 -10,571.8 -14,464.3 8,012.0 -4,694.8 575.3 2,632.4 -8,177.0 4,320.9 4,335.4 options
-450.7
2012 -3,017.9 -9,265.2 9,494.2 -4,255.2 1,008.3 3,502.2 506.7 -13,280.9 29,801.4 -64.7
2013 2688.8 -7,986.5 11,182.8 -2032.4 1,524.9 2,790.7 5386.7 -2,942.8 3951 1,017.1
2014 140 -9,486.9 11,377.8 -3376.1 1625.1 2316.2 2742.2 -2651.6 -1408.7 1,945.9
2015 209.4 -9544.5 12534.5 -4337.5 1556.9 2094 2296.6 -1220.4 127.4 379.6
2016 1101.2 -9644.9 13461.4 -4356.1 1640.8 1877 2986.1 -3248.9 15480 542.1
2017 878.5 -12,107.8 15,618.9 -4,858.7 2,226.1 1,820.2 3,131.1 -8,300.9 9,295.6 -20.0

Balance of payments: balances

Data Sources: BP - Balance of Payments' Statistics
Source: PORDATA
Last updated: 2018-02-21
Symbology
┴ Series break Pro Provisional Pre Preliminary value
... Confidential x value
Not available e Less than half the unit used
// Not f Forecast § Extremely unreliable value
- applicable
Absent value Rv Revised (R) Data rectified by the relevant body
value

Data obtained in www.pordata.pt in 26-03-2018

ccount
Errors and
omissions
Other Reserve
investment assets

-18,041.5 998.0 407.8

-15,171.7 -1,210.9 -237.6
-16,118.6 169.5 22.5
2924.9 436.4 -92.7
3144.8 1,711.8 286
1533.2 1,476.8 -6.7
-14476.6 4,689.4 7.9
3,373.2 -1,216.8 432.4
Balance of payments: balances

Geographic coverage: Portugal

Statistical operation: Balance of Payments' Statistics
Type of statistical operation: Administrative survey
Period or moment of reference: Year
Frequency: Monthly/Annual
Responsible entity: BP
Notes: Goods: In the country's relationship with foreign countries, the balance of goods show
imports more goods than it exports (negative balance or deficit) to the rest of the worl

Services: In the country's relationship with foreign countries, the balance of services s
or imports more services than it exports (negative balance or deficit) to the rest of the

Primary income: In the country's relationship with foreign countries, the balance of pri
balance or surplus) or more primary income leaving the country for the rest of the wor

Secondary income: In the country's relationship with foreign countries, the balance of
(positive balance or surplus) or more secondary income leaving the country for the re

Direct investment: The balance of direct investment shows whether the country is attr
balance). It also includes investment in real estate.

Portfolio investment: The balance of the portfolio investment shows whether the coun
(positive balance).

Concepts

Name Description
Reserve Assets

Current Account

Capital Account

Balance of Payments

Financial Account

Goods (Balance of Payments)

Financial Derivatives (other than
reserves) and Employee Stock
Options

Portfolio Investment

Direct Investment

Primary Income (Balance of

Payments)
Secondary Income (Balance of
Payments)

Services (Balance of Payments)

Series

Serie Measure Unit Value Type

Balance of payments Euro Absolute Value

Data obtained in www.pordata.pt in 26-03-2018

h foreign countries, the balance of goods shows whether the country exports more goods than it imports (positive balance or surplus) or
gative balance or deficit) to the rest of the world.

with foreign countries, the balance of services shows whether the country exports more services than it imports (positive balance or surp
s (negative balance or deficit) to the rest of the world.

nship with foreign countries, the balance of primary income shows whether there is more primary income entering the country (positive
ome leaving the country for the rest of the world (negative balance or deficit).

ationship with foreign countries, the balance of secondary income shows whether there is more secondary income entering the country
econdary income leaving the country for the rest of the world (negative balance or deficit).

t investment shows whether the country is attracting more investment from abroad (negative balance) or investing more abroad (positiv
real estate.

e portfolio investment shows whether the country is attracting more investment from abroad (negative balance) or investing more abroad

Definition
Reserve assets are those external assets that are readily available to and controlled by monetary
authorities for meeting balance of payments financing needs, for intervention in exchange markets
manage the currency exchange rate, and for other related purposes (such as maintaining confiden
in the currency and the economy, or serving as a basis for foreign borrowing). Reserve assets mu
be foreign currency assets, claims vis-à-vis non-residents and assets that actually exist. Potential
assets are excluded. Underlying the concept of reserve assets are the notions of ‘control’ and
‘availability for use’ by the monetary authorities. (metadata – European Commission)

The current account shows flows of goods, services, primary and secondary income between
residents and non-residents. (metadata – European Commission)

The capital account covers the acquisition/disposal of non-produced non-financial assets and cap
transfers. (metadata – European Commission)

The balance of payments is a statistical statement that summarizes transactions between residen
and nonresidents during a period. It consists of the goods and services account, the primary incom
account, the secondary income account, the capital account, and the financial account. The basic
principle of double-entry bookkeeping used in constructing the balance of payments implies that th
sum of all international transactions—current, capital, and financial—is in principle equal to zero.
Accordingly, the financial account shows how the sum of the current account and capital account
balances is financed. (metadata – IMF)

The financial account records transactions that involve financial assets and liabilities that have tak
place between residents and non-residents. The financial account shows transactions in net terms
net acquisitions of financial assets correspond to acquisitions of assets less reductions in assets.T
financial account indicates the functional categories, sectors, instruments, and maturities used for
international financing transactions. It comprises: direct investment; portfolio investment; financial
derivatives (other than reserves) and employee stock options; other investment; and reserve asse
(metadata – IMF and European Commission)

This component covers moveable goods for which a change of ownership occurs between residen
and non-residents.

General merchandise on a balance of payments (BOP) basis covers goods for which a change of
economic ownership occurs between a resident and a non-resident and that are not included in ot
specific categories, such as goods under merchanting and nonmonetary gold, or as part of a serv
General merchandise should be measured at market value on a free on board (FOB) basis. In the
countries’ contribution to the compilation of Union aggregates, imports and exports of goods in qu
transit trade have to be included and, for intra-Union trade, the partner country should be defined
according to the consignment principle.

«Merchanting» is defined as the purchase of goods by a resident from a non-resident, combined w

the subsequent resale of the same goods to another non-resident without the goods being presen
the compiling economy. «Nonmonetary gold» covers all gold other than monetary gold, owned by
monetary authorities and held as a reserve asset. «Quasi-transit trade» is a term used to define
goods imported into a Member State, cleared through customs for free circulation within the Union
(and submitted to import duties) by an entity that is not considered as a resident institutional unit,
are then dispatched to another Member State. (metadata – European Commission)
A financial derivative 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 ra
risk, foreign exchange risk, equity and commodity price risks, credit risk, and so on) can be traded
their own right in financial markets. This category is identified separately from other categories
because it relates to risk transfer, rather than supply of funds or other resources. Unlike other
functional categories, no primary income accrues on financial derivatives. Net flows associated wi
interest rate derivatives are recorded as financial derivatives, not as investment income. Transacti
and positions in financial derivatives are treated separately from the values of any underlying item
which they are linked. In the case of options, the full premium (i.e. the purchase/sale price of the
options and the implied service charge) is recorded. Repayable margin payments consist of cash
other collateral deposited to protect counterparty against default risk. They are classified as depos
under other investment (if the debtor’s liabilities are included in broad money) or in other accounts
receivable/payable. Non-repayable margin payments (also known as variation margin) reduce the
financial liability created through a derivative; therefore they are classified as transactions in finan
derivatives.

Employee stock options are options to buy the equity of a company offered to employees of the
company as a form of remuneration. If a stock option granted to employees can be traded on
financial markets without restriction, it is classified as a financial derivative. (metadata – European
Commission)

Portfolio investment includes transactions and positions involving debt or equity securities, other t
those included in direct investment or reserve assets. Portfolio investment includes Equity securiti
Investment fund shares and Debt securities, unless they are categorised either as direct investme
or as reserve assets. Transactions as repurchase agreements and securities lending are excluded
from portfolio investment. (metadata – European Commission)

Direct investment is associated with a resident in one economy (direct investor) having control or
significant degree of influence on the management of an enterprise that is resident in another
economy (direct investment enterprise). Following the international standards, the direct or indirec
ownership of 10 % or more of the voting power of an enterprise resident in one economy by an
investor resident in another economy is evidence of such a relationship. Based on this criterion, a
direct investment relationship can exist between a number of related enterprises, regardless of
whether the linkage involves a single or a number of chains. It can extend to a direct investment
enterprise’s subsidiaries, sub-subsidiaries and associates. Once the direct investment is establish
all subsequent financial flows/holdings between the related entities are recorded as direct investm
transactions/positions. (metadata – European Commission)

Primary income represents the return that accrues to institutional units for their contribution to the
production process, or for the provision of financial assets or from renting natural resources to oth
institutional units. It comprises Compensation of employees, Investment income and Other primar
income. (metadata – European Commission)
 The secondary income account shows current transfers between residents and non-residents. A
transfer is an entry that corresponds to the provision of a good, service, financial asset, or other n
produced asset by an institutional unit to another institutional unit where there is no corresponding
return of an item of economic value. Current transfers consist of all transfers that are not capital
transfers. Current transfers are classified according to the institutional sector making or receiving t
transfer in the compiling economy (General government or Other sectors). (metadata – European
Commission)

Services are the result of a production activity that changes the conditions of the consuming units,
facilitates the exchange of products or financial assets. Services are not generally separate items
over which ownership rights can be established and cannot generally be separated from their
production. It comprises: manufacturing services on physical inputs owned by others; aintenance
repair services not included elsewhere; transport; travel; construction; insurance and pension
services; financial services; charges for the use of intellectual property not included elsewhere;
telecommunication, computer and information services; other business services; personal, cultura
and recreational services; government goods and services not included elsewhere. (metadata –
European Commission)

The "Goods" category is

estimated on the basis
Scale of information from INE, Formula
Notes Math Formula
adjusted to FOB (Free
on Board) values.

The category "Financial

derivatives" includes
financial derivatives and
(other than reserves)
and employee stock
10^6
options.

The category "Reserve

assets", from January
1999 onwards, include
only Banco de Portugal
claims on non-euro area
residents denominated
in non-euro area
currencies, thus implying
a break in the serie.
 s (positive balance or surplus) or

imports (positive balance or surplus)

me entering the country (positive

ary income entering the country

or investing more abroad (positive

balance) or investing more abroad

 le to and controlled by monetary
intervention in exchange markets to
ses (such as maintaining confidence
n borrowing). Reserve assets must
sets that actually exist. Potential
e the notions of ‘control’ and
opean Commission)

secondary income between

)

ced non-financial assets and capital

es transactions between residents

rvices account, the primary income
d the financial account. The basic
alance of payments implies that the
al—is in principle equal to zero.
ent account and capital account

assets and liabilities that have taken

nt shows transactions in net terms:
assets less reductions in assets.The
ruments, and maturities used for net
nt; portfolio investment; financial
her investment; and reserve assets

wnership occurs between residents

vers goods for which a change of

ent and that are not included in other
onetary gold, or as part of a service.
free on board (FOB) basis. In the
ports and exports of goods in quasi-
artner country should be defined

from a non-resident, combined with

t without the goods being present in
er than monetary gold, owned by
trade» is a term used to define
or free circulation within the Union
d as a resident institutional unit, and
pean Commission)
ed to another specific financial
inancial risks (such as interest rate
dit risk, and so on) can be traded in
parately from other categories
other resources. Unlike other
rivatives. Net flows associated with
as investment income. Transactions
the values of any underlying items to
. the purchase/sale price of the
margin payments consist of cash or
risk. They are classified as deposits
road money) or in other accounts
n as variation margin) reduce the
classified as transactions in financial

ny offered to employees of the

employees can be traded on
derivative. (metadata – European

debt or equity securities, other than

vestment includes Equity securities,
gorised either as direct investment
nd securities lending are excluded

direct investor) having control or a

se that is resident in another
al standards, the direct or indirect
esident in one economy by an
onship. Based on this criterion, a
ated enterprises, regardless of
n extend to a direct investment
the direct investment is established,
es are recorded as direct investment

units for their contribution to the

m renting natural resources to other
stment income and Other primary
 residents and non-residents. A
ervice, financial asset, or other non-
where there is no corresponding
all transfers that are not capital
ional sector making or receiving the
sectors). (metadata – European

onditions of the consuming units, or

are not generally separate items
rally be separated from their
uts owned by others; aintenance and
ction; insurance and pension
operty not included elsewhere;
siness services; personal, cultural
cluded elsewhere. (metadata –