{ "title": "The External Balance Assessment Methodology: 2018 Update", "publication": "IMF Working Papers, March 19, 2019", "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2019/03/19/the-external-balance-assessment-methodology-2018-update-46643", "canonical": "https://www.imf.org/en/publications/wp/issues/2019/03/19/the-external-balance-assessment-methodology-2018-update-46643", "overlayPath": "/en/publications/wp/issues/2019/03/19/the-external-balance-assessment-methodology-2018-update-46643/index.md", "summary": "The assessment of external positions and exchange rates is a key mandate of the IMF. This paper presents the updated External Balance Assessment (EBA) framework—a key input in the conduct of multilaterally-consistent external sector assessments of 49 advanced and emerging market economies—following", "sections": [ { "heading": "Overview and scope", "content": "- Presents the updated External Balance Assessment (EBA) framework, a key input in the conduct of multilaterally-consistent external sector assessments of 49 advanced and emerging market economies.\n- Builds on the framework introduced in 2012 and two subsequent rounds of refinements (as described in Phillips et al., 2013).\n- Introduces new complementary tools to:\n - Shed light on the role of structural factors in explaining external imbalances.\n - Assess potential biases in the measurement of external positions.\n- Discusses remaining challenges and areas of future work." }, { "heading": "Key substantive findings and contributions", "content": "- The EBA framework remains central to the IMF’s assessment of external positions and exchange rates.\n- The update provides:\n - A multilaterally-consistent methodology applied across 49 advanced and emerging market economies.\n - New tools focused on structural-factor explanations of external imbalances.\n - Diagnostics for potential measurement biases in external-position indicators." }, { "heading": "Subjects and keywords (as listed)", "content": "- Subjects:\n - Balance of payments\n - Capital controls\n - Current account\n - Current account balance\n - External balance assessment (EBA)\n - External position\n - Foreign exchange\n - Real effective exchange rates\n- Keywords:\n - capital control\n - capital control index\n - Capital controls\n - current account\n - Current account balance\n - current account gap\n - current account level\n - current account model\n - EBA current account balance assessment\n - EBA current account model\n - exchange rate\n - exchange rates\n - External balance assessment (EBA)\n - external sustainability\n - foreign exchange\n - Global\n - global imbalances\n - model residual\n - potential GDP\n - Real effective exchange rates\n - reer-index model\n - REER-Index model\n - WP" }, { "heading": "Summary of purpose and next steps emphasized", "content": "- Purpose:\n - Provide an updated, multilaterally-consistent EBA framework to assess external positions and exchange rates across a broad set of economies.\n - Enhance understanding of structural drivers of external imbalances and measurement biases.\n- Next steps / remaining work (as discussed in the paper):\n - Addressing remaining challenges in the measurement and interpretation of external positions.\n - Further refinements to tools that link structural factors to external imbalances.\n\nIMF Working Papers: \"The External Balance Assessment Methodology: 2018 Update\", March 19, 2019.\n\n---\n\n Content in this bundle\n\n- Working Paper\n - Working Paper (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n - Working Paper (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2019/03/19/the-external-balance-assessment-methodology-2018-update-46643" } ], "bullets": [ "[Markdown version](/en/publications/wp/issues/2019/03/19/the-external-balance-assessment-methodology-2018-update-46643/index.md)", "[Structured JSON version](/en/publications/wp/issues/2019/03/19/the-external-balance-assessment-methodology-2018-update-46643/index.json)", "[Bundle manifest](/en/publications/wp/issues/2019/03/19/the-external-balance-assessment-methodology-2018-update-46643/bundle-manifest.json)", "Authors: Luis M. Cubeddu, Signe Krogstrup, Gustavo Adler, Pau Rabanal, Mai Dao, Swarnali A Hannan, Luciana Juvenal, Cyril Rebillard, Daniel Garcia-Macia, Callum Jones, Jair Rodriguez, Kyun Suk Chang, Deepali Gautam, Zijiao Wang, Nan Li", "Published: March 19, 2019", "Series: IMF Working Papers", "DOI: https://doi.org/10.5089/9781498300933.001", "Presents the updated External Balance Assessment (EBA) framework, a key input in the conduct of multilaterally-consistent external sector assessments of 49 advanced and emerging market economies.", "Builds on the framework introduced in 2012 and two subsequent rounds of refinements (as described in Phillips et al., 2013).", "Introduces new complementary tools to:", "Discusses remaining challenges and areas of future work.", "The EBA framework remains central to the IMF’s assessment of external positions and exchange rates.", "The update provides:", "Subjects:", "Keywords:", "Purpose:", "Next steps / remaining work (as discussed in the paper):", "**Working Paper**" ], "related": [ { "title": "Working Paper", "role": "paper", "sourceUrl": "https://www.imf.org/-/media/files/publications/wp/2019/wpiea2019065.pdf", "summary": { "path": "/-/media/files/publications/wp/2019/wpiea2019065.pdf.md", "mime": "text/markdown" }, "binary": { "path": "/-/media/files/publications/wp/2019/wpiea2019065.pdf", "mime": "application/pdf" } } ], "alternates": { "markdown": "/en/publications/wp/issues/2019/03/19/the-external-balance-assessment-methodology-2018-update-46643/index.md", "json": "/en/publications/wp/issues/2019/03/19/the-external-balance-assessment-methodology-2018-update-46643/index.json", "bundleManifest": "/en/publications/wp/issues/2019/03/19/the-external-balance-assessment-methodology-2018-update-46643/bundle-manifest.json" }, "generatedAtUtc": "2026-09-18T14:59:57.824Z" }