balance of payments


noun

the difference between a nation's total payments to foreign countries, including movements of capital and gold, investments, tourist spending, etc., and its total receipts from foreign countries.

Origin of balance of payments

First recorded in 1835–45

Example sentences from the Web for balance of payments

  • For balance-of-payments reasons, Japan closely controls its receipts and expenditures of foreign exchange.

    East-West Trade Trends |Harold E. Stassen

British Dictionary definitions for balance of payments

balance of payments

noun

the difference over a given time between total payments to foreign nations, arising from imports of goods and services and transfers abroad of capital, interest, grants, etc, and total receipts from foreign nations, arising from exports of goods and services and transfers from abroad of capital, interest, grants, etc

Cultural definitions for balance of payments

balance of payments

The relationship between the payments made by one nation to all other nations and its receipts from all other nations.

notes for balance of payments

A nation whose payments exceed its receipts is said to be running an unfavorable balance of payments, which can affect the value of its currency in foreign countries. ( See foreign exchange.)