## BPM7 Chapter 2. Overview of the Integrated Framework: Annotated Outline ## Source details **Canonical URL:** [BPM7 Chapter 2. Overview of the Integrated Framework: Annotated Outline](https://www.imf.org/-/media/files/data/statistics/bmp7/final-annotated-outlines/bpm7-chapter-2-overview-of-the-integrated-framework-annotated-outline.pdf) ## Other formats - [Markdown version](/-/media/files/data/statistics/bmp7/final-annotated-outlines/bpm7-chapter-2-overview-of-the-integrated-framework-annotated-outline.pdf.md) - [Structured JSON version](/-/media/files/data/statistics/bmp7/final-annotated-outlines/bpm7-chapter-2-overview-of-the-integrated-framework-annotated-outline.pdf.json) --- ### I. Introduction - The chapter focuses on presenting an overview of the integrated framework of international accounts and brief details on its components, maintaining the overall structure from BPM6 with separate sections: Introduction (Section I), structure of the international accounts (Section II), and metadata, dissemination standards, data quality, and time series (Section III). - Changes from BPM6 are highlighted; further language adjustments may be made to align with other macroeconomic statistics manuals (e.g., 2025 SNA). - A Schematic Overview is provided to show chapter organization. ### II. Structure of the International Accounts A. Overall Framework - International accounts summarize the economic relationship between residents of that economy and nonresidents. - The international accounts framework is composed of three major intertwined elements: - (i) the balance of payments; - (ii) the international investment position (IIP); and - (iii) the accumulation accounts—which break down changes in the IIP between two points in time into balance of payments’ financial account transactions and other changes in financial assets and liabilities accounts (revaluations, and other changes in volume). - Terminology will be made consistent with the SNA (GN B.4). - Figure 2.1 will indicate that in international accounts accumulation accounts include the financial account and the other changes in financial assets and liabilities accounts. - Paragraph 2.7: the reference to Annex 2.1 will be deleted (Annex 2.1 is moved to Chapter 20 Communicating and Disseminating Economic Statistics). B. Balance of Payments - Scope maintained from BPM6, including Box 2.1 on double-entry accounting, with minor changes: - Balances on capital account and financial accounts will be explicitly defined in updated paragraphs 2.16 and 2.17 in line with Table 2.1. - References to relevant BPM7 chapters will be updated. C. Accumulation Accounts - In the SNA framework, accumulation accounts record flows that affect balance sheet entries between start and end of the accounting period. There are four accumulation accounts per paragraph 1.20, 2008 SNA: - the capital account, - the financial account, - the other change in the volume of assets account, and - the revaluation account. - For international accounts, accumulation accounts explain changes between opening and closing IIP (external balance sheet) and comprise the balance of payments’ financial account and the other changes in financial assets and liabilities accounts. - References to relevant BPM7 chapters will be updated. D. International Investment Position - Definition of IIP and its description as a subset of the national balance sheet will be maintained (paragraphs 2.8 and 2.9). - The integrated IIP (i.e., concerning stock-flow reconciliation) will be the centerpiece of BPM7. - Paragraph 2.11 is to be maintained with no changes. - A shorter version of the integrated IIP from BPM7 Table 7.1 will be included to highlight its importance from the outset—only assets and liabilities by functional categories. - Table 2.1 Integrated International Investment Position Statement (to be included). E. Integrated Recording of Positions and Transactions - No significant changes planned. F. Net Errors and Omissions - No significant changes planned. (Use of the term is subject to GN CM.2 decision on terminology change.) G. Linkages within the International Accounts - No significant changes planned. H. Linkages and Consistency with Other Macroeconomic Datasets - A sub-section on External Debt Statistics (EDS) will be added to highlight links between IIP and EDS, including discussion on valuation of debt securities from GN F.8. I. Numerical Example—Table 2.2 - To be maintained as in BPM6, modifying the IIP table in line with Table 2.1. (Annex 2.1, BPM6 Satellite Accounts and Other Supplementary Presentations, will be dropped from this chapter and included in new BPM7 Chapter 20.) ### III. Metadata, Dissemination Standards, Data Quality, and Time Series - Structure same as in BPM6 with minor updates: - Discussion on seasonal adjustment in updated paragraph 2.41 will refer to Quarterly National Accounts Manual, 2017 Edition (Chapter 7 Seasonal Adjustment). - Box 2.2 on Data Quality Assessment Framework (DQAF) will be based on the 2012 version of DQAF for Balance of Payments and International Investment Position (item 1.1 professionalism will be known as institutional integrity following 2012 DQAF). - A reference to the Framework for Measuring Alignment with Economic Accounting Statistical Standards, Section VII, Chapter 20 will be provided (Chapter 20 provides reference to DQAF presented in this section). Annex 2.1. Overview of Integrated Economic Accounts - Table 2.3 Overview of Integrated Economic Accounts will be based on 2025 SNA tables on sequence of accounts; no significant changes expected. - Table 2.4 Links between Instrument and Functional Categories - Table 2.4a Balance of Payments Financial Account by Instrument - Table 2.4b Integrated IIP by Instrument - Table 2.4c Conversion of Data from Instrument Split to Functional Categories - Updates to categories/data may occur based on the treatment of crypto assets without corresponding liability (GN F.18) and any other updates. Schematic Overview (chapter organization) - I Introduction - II Structure of the Accounts - Overall framework - Balance of Payments - Accumulation Accounts - International Investment Position - Table 2.1 Integrated International Investment Position Statement - Integrated Recording of Positions and Transactions - Net Errors and Omissions - Linkages within the International Accounts - Linkages and Consistency with Other Macroeconomic Datasets - Numerical Example - Table 2.2 Overview of International Accounts - Box 2.1 Double-entry Basis of Balance of Payments Statistics - III Metadata, Dissemination Standards, Data Quality, and Time Series - Metadata, Dissemination Standards, and Data Quality - Time Series - Box 2.2 Data Quality Assessment Framework - Annex 2.1 Overview of Integrated Economic Accounts - Table 2.3 Overview of Integrated Economic Accounts (from 2025 SNA) - Table 2.4 Links between Instrument and Functional Categories - References - GNs B.4, F.8, and F.18 - 2012 version of DQAF for Balance of Payments and International Investment Position - Quarterly National Accounts Manual, 2017 Edition - BOPCOM paper 19/14 Analysis of Net Errors and Omissions Key Stakeholders Consulted - System of National Accounts and Balance of Payments Manual editors - IMF Statistics Department Financial Institutions Division and Government Finance Division --- _Source: https://www.imf.org/-/media/files/data/statistics/bmp7/final-annotated-outlines/bpm7-chapter-2-overview-of-the-integrated-framework-annotated-outline.pdf_