In distinguishing the difference between Private Capital Flows, net and Capital Flows, net in Tables A13 and A14 of the Statistical Appendix, what exact flows are included in official flows? Specifically, does the definition of official include both governments and central banks? Does it include changes in both assets and liabilities? Put another way, is the definition of "official" borrower or creditor based? For example, is an increase in government liabilities (official borrower) financed by private creditors included in official flows or private flows? Finally, how does the definition in the WEO database compare with the definition in the October 2007 WEO report, Chapter 3, page 3, footnote 4? Thank you.
|8/6/2008 1:40:59 PM
RE: Capital Flows|
Thank you fro your question. As stated in footnote 4 of chapter 3 in the October 07 WEO, 'private' flows are flows to/from the private sector in a given country; the foreign sector of origin or destination of those flows is not considered. In the chapter analysis, 'private' flows include flows to/from banks and other sectors while 'official' flows would include flows to/from general government and monetary authorities (central banks, in most cases.)
In the case of the tables, "Official flows, net" constitutes official portfolio flows and other official flows that are neither portfolio nor FDI (bank loans, trade credit etc); it excludes grants and includes overseas investments of official investment agencies. Flows reported are the net increase in assets minus net increase in liabilities.
|8/11/2008 8:59:41 AM