## Balance of Payments Task Team (BPTT) — Inaugural Meeting (June 15, 2020)

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**Canonical URL:** [Balance of Payments Task Team (BPTT) — Inaugural Meeting (June 15, 2020)](https://www.imf.org/-/media/files/data/statistics/bpm6/bptt/bptt-inaugural-meeting-presentaion-imf.pdf)

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### Overview and mandate
- Event: Inaugural meeting of the Balance of Payments Task Team (BPTT), June 15, 2020.
- BPTT role:
  - Oversight and coordination of BPM6 update work related to balance of payments and international investment position (IIP) topics.
  - Clear all notes before presentation to the Balance of Payments Committee.
  - Detect coordination issues with SNA Task Teams (TTs) or across BPM TTs at an early stage to avoid overlaps/duplication, aiming to produce a single consolidated list of research issues to detect inconsistencies.
  - Communicate closely with SNA TTs and the AEG.
  - Phase 2 (as of 2023): provide advice to STA and the Committee on the BPM7 Annotated Outline (AO) and the draft chapters.

### Organization, governance, and lifecycle for Guidance Notes (GNs)
- BPTT governance and GN lifecycle:
  - 1. BPTT reviews draft GNs by other TTs. AEG also asked to review GNs that impact SNA.
  - 2. One-month public consultation.
  - 3. If major changes, second-round review by BPTT (and AEG where relevant).
  - 4. GNs go to the Committee (and ISWGNA, for issues impacting SNA).
  - 5. For cross-cutting SNA and BP issues, if divergent views emerge, Committee and ISWGNA Chairs request SNA/BPM editors’ views.
  - 6. If views still diverge, retaining the status quo (i.e., no change) would be carefully considered (placing the issue on a future research agenda).
  - 7. Final decision on the BPM6 Update resides with the Committee.
- Approval process for GNs (steps):
  - Step 1: First draft of the GN by authors, including summary of recommendations.
  - Step 2: Review by Chair and Secretariat.
  - Step 3: Consultations within BPTT (written or via VC if necessary).
  - Step 4: Finalize GN based on consultation.
  - Step 5: Release draft GN for wider public consultation.
  - Step 6: Incorporate comments and circulate within BPTT.
  - Step 7: Second review by BPTT (and AEG only if there are significant changes for issues that impact SNA).
  - Step 8: Presentation to the Committee and to the ISWGNA for endorsement.
- Standard framework of Guidance Notes:
  - Section 1: The Issue
    - Background: clear explanation, current international standards—including relevant references from manuals, concerns/shortcomings of current standards.
    - Issues for discussion: possible alternative treatments/options, questions/points for discussion.
  - Section 2: Outcomes
    - Recommendation: To revise (proposed treatment/revision and rationale) or Not to revise (reasons).
    - Rejected alternatives with reasons.
    - Required changes in current standards.

### Organization and communication
- Chair/Secretariat and Task Team interactions:
  - BPTT Chair/Secretariat: IMF.
  - BPTT coordinates with multiple BPM7-only Task Teams and BPM7–SNA joint TTs, including Current Account Task Team (CATT), Direct Investment Task Team (DITT), Financial and Payments Systems Task Team (FITT), Informal Economy Task Team (IETT), Islamic Finance Task Team (IFTT), Intellectual Property Products Task Team (IPTT), Communications Task Team (CMTT), and others.
- Communication features:
  - A public webpage related to BPTT work program launched at the IMF Statistics BPM site.
  - Terms of Reference and research issues posted publicly.
  - A separate page to post Guidance Notes for public comments.
  - Link to provide feedback on GNs and a collaboration site (restricted) for BPTT Members.

### Research topics and priorities assigned to BPTT
- High-priority research topics (Issue No. and topic):
  - B.1 Nationality concept — links: DITT/GZTT.
  - B.2 Standardized definition of net international reserves/revisit reserves related liabilities definition.
  - B.3 Treatment of currency unions.
  - B.4 Reconciliation between flows and stocks.
  - B.5 International accounts supporting the analysis of welfare — links: SWTT.
  - B.6 Sustainable finance — links: SWTT.
- Medium-priority research topics:
  - B.7 Arrears in IIP.
  - B.8 Recording citizenship by investment programs.
  - B.9 Treatment of tax amnesty.
  - B.10 Auxiliary reconciliation tables.
  - B.11 Other economic flows on insurance and pension reserves.
  - B.12 Treatment of illiquid equity in international organizations in the IIP.
- Research topics assigned primarily to other TTs but relevant to BPTT:
  - B.13 Considering separate institutional units of SPEs that are resident in a different territory to that of their owners — links: DITT/GZTT.
  - B.14 Treatment of digital economy — links: CATT/DZTT.
  - B.15 Sectorization of MNEs — links: DZTT.
  - B.16 Revision policies and studies — links: CMTT.
  - B.17 Emission permits — links: SWTT.
- Who proposed and estimated GN deadlines for selected high-priority items:
  - B.1 Nationality concept — proposed by France, Netherlands, Eurostat; Estimated Deadline for GN: TBD with author(s).
  - B.2 Standardized definition of net international reserves/revisit reserves-related liabilities definition — proposed by IMF; Proposed date: 2020 BOPCOM.
  - B.3 Treatment of currency unions — proposed by IMF; Proposed date: 2020 BOPCOM.
  - B.4 Reconciliation between flows and stocks — proposed by Germany, France; Proposed date: 2020 BOPCOM.
  - B.5 International accounts supporting the analysis of welfare — proposed by France; Estimated Deadline for GN: TBD with author(s).
  - B.6 Sustainable finance — proposed by Netherlands; Stocktaking: 2020 BOPCOM; GN: 2021 BOPCOM.
- Who proposed and estimated GN deadlines for selected medium-priority items:
  - B.7 Arrears in IIP — proposed by Russia; Estimated Deadline for GN: TBD with author(s).
  - B.8 Recording citizenship by investment programs — proposed by IMF; Estimated Deadline for GN: Written procedure (no set date).
  - B.9 Treatment of tax amnesty — proposed by IMF; Estimated Deadline for GN: Written procedure (no set date).
  - B.10 Auxiliary reconciliation tables — proposed by OECD; Estimated Deadline for GN: TBD with author(s).
  - B.11 Other economic flows on insurance and pension reserves — proposed by Australia; Estimated Deadline for GN: TBD with author(s).
  - B.12 Treatment of illiquid equity in international organizations in the IIP — proposed by IMF; Estimated Deadline for GN: 2021.

### Timelines and key targets
- BPM6 update timeline structure includes BPM7-only Task Teams, BPM7–SNA joint Task Teams, and SNA-only Task Teams feeding into the Balance of Payments Committee and ISWGNA/AEG processes.
- Key Committee meeting targets:
  - June 2020 Committee Meeting.
  - October 27-29, 2020 Committee Meeting.
  - October 2021 Committee Meeting.
- Timeline for drafting and finalizing a GN (number of weeks per stage; total indicated 16 weeks):
  - Drafting of the GN: 3 weeks.
  - Consultation within the AEG if topic impacts the SNA: 2 weeks.
  - Incorporate comments and circulate within BPTT: 1 week.
  - Draft finalized: 1 week.
  - Posting for public consultation: 4 weeks.
  - Incorporation of comments, discussion within TT and finalization by chair: 1 week.
  - If significant changes, second round of review to BPTT/AEG/other stakeholders: 1 week.
  - GN final version including recommendations completed and sent to BOPCOM: 1 week.
  - BOPCOM Discussion/Decision*: 2 weeks.
  - Total weeks indicated in timeline: 16.
  - Note: GNs to be discussed at BOPCOM meetings should be sent at least 2 weeks in advance of meeting date; for written consultations, two weeks timeline suggested.
- Example tentative schedule for another TT (FITT) illustrating timeline dates:
  - Drafting of the GN (3 weeks): July 3, 2020.
  - Consultation within TT members (2 weeks): July 17, 2020.
  - Draft finalized (1 week): July 24, 2020.
  - Draft GN submitted for review to BPTT (and AEG/WGIIS) by TT Chairs (1 week): July 31, 2020.
  - Incorporate comments and circulate within TT (1 week): August 7, 2020.
  - Posting for public consultation (4 weeks): September 4, 2020.
  - Incorporation of comments, discussion within TT and finalization by co-chairs (1 week): September 11, 2020.
  - If significant changes, second round of review to BPTT/AEG/other stakeholders (1 week): September 18, 2020.
  - GN final version including recommendations completed and sent to BOPCOM (via BPTT) (1 week): September 25, 2020.
  - BOPCOM Discussion/Decision* (2 weeks): To be sent to Committee around end-September 2020.
  - Total weeks indicated in example timeline: 17.

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_Source: https://www.imf.org/-/media/files/data/statistics/bpm6/bptt/bptt-inaugural-meeting-presentaion-imf.pdf_