EMBARGOED UNTIL RELEASE AT 8:30 A.M. EST, WEDNESDAY, December 17, 2014 Sarah Scott: (202) 606-9286 BEA 14-62 U.S. International Transactions: Third Quarter 2014 Current Account The U.S. current-account deficit—a net measure of transactions between the United States and the rest of the world in goods, services, primary income (investment income and compensation), and secondary income (current transfers)—increased to $100.3 billion (preliminary) in the third quarter of 2014 from $98.4 billion (revised) in the second quarter. The deficit remained at 2.3 percent of current-dollar gross domestic product (GDP). The increase in the current-account deficit was more than accounted for by an increase in the deficit on secondary income. In addition, the surplus on services decreased. These changes were partly offset by a decrease in the deficit on goods and an increase in the surplus on primary income. Goods and services The deficit on goods and services decreased to $124.3 billion in the third quarter from $131.2 billion in the second quarter. Goods The deficit on goods decreased to $182.1 billion in the third quarter from $189.3 billion in the second quarter. Goods exports increased to $414.1 billion from $408.7 billion. Exports increased in four of the six major general-merchandise end-use categories and in nonmonetary gold. The largest general-merchandise increases were in industrial supplies and materials; automotive vehicles, parts, and engines; and capital goods except automotive. The largest decrease was in foods, feeds, and beverages. The increase in industrial supplies and materials was accounted for by increases in energy products and metals and nonmetallic products. The increase in automotive vehicles, parts, and engines reflected increases in all subcategories. The largest increases in capital goods except automotive were in telecommunications equipment and in other industrial machinery, particularly in machinery for manufacture of semiconductors. Much of the decrease in exports of foods, feeds, and beverages was due to a decrease in exports of grains and preparations (ITA Table 2.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=45). Goods imports decreased to $596.2 billion from $598.0 billion. Imports decreased in three of the six major general-merchandise end-use categories. The largest decreases were in industrial supplies and materials and in consumer goods except food and automotive. The largest increase was in capital goods except automotive. Most of the decrease in industrial supplies and materials was due to a decrease in imports of petroleum and products. The decrease in consumer goods except food and automotive was more than accounted for by a decrease in imports of durable goods, most of which was in cell phones. The increase in capital goods except automotive mostly reflected increases in machinery and equipment except consumer-type and in civilian aircraft, complete, all types (ITA Table 2.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=45). Services The surplus on services decreased to $57.7 billion in the third quarter from $58.1 billion in the second quarter. Services exports were nearly unchanged at $177.9 billion in the third quarter. Exports increased in five of the nine major services categories. The largest increase was in other business services, much of which was in research and development services. The largest decrease was in financial services, much of which was in securities brokerage, underwriting, and related services (ITA Table 3.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=51). Services imports increased to $120.1 billion from $119.8 billion. Imports increased in six of the nine major services categories. The largest increase was in other business services, reflecting combined increases in imports of research and development services and professional and management consulting services (ITA Table 3.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=51). Primary income The surplus on primary income increased to $59.0 billion in the third quarter from $54.8 billion in the second quarter. Investment income Income receipts from foreigners on U.S. holdings of financial assets abroad increased to $207.6 billion from $202.9 billion (ITA Table 4.1) (www.bea.gov/iTable/iTable.cfm?reqid=62&step=6&isuri=1&6210=1&6200=56#reqid=62&step=6&isuri=1&6210=1&6200=56). The increase reflected increases in direct investment income—mostly from manufacturing affiliates—and portfolio investment income receipts. The increase in direct investment income receipts was mostly due to higher income on equity (ITA Table 4.2) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=57). The increase in portfolio investment income receipts was mostly due to increased interest on long-term debt securities (ITA Table 4.3) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=58). Income payments to foreigners on U.S. liabilities increased to $146.3 billion from $145.8 billion (ITA Table 4.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=56). The increase was more than accounted for by an increase in portfolio investment income payments, reflecting increased interest on long-term debt securities (ITA Table 4.3) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=58). The increase in portfolio investment income payments was partly offset by a decrease in direct investment income payments. The decrease in direct investment income payments was largely in income on equity; interest payments also decreased (ITA Table 4.2) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=57). Compensation of employees Receipts for compensation of U.S. residents paid by nonresidents was nearly unchanged at $1.7 billion in the third quarter. Payments for compensation of foreign residents paid by U.S. residents were nearly unchanged at $4.0 billion in the third quarter. Secondary income (current transfers) The deficit on secondary income increased to $34.9 billion in the third quarter from $22.0 billion in the second quarter. Secondary income receipts and payments include U.S. government and private transfers, such as U.S. government grants and pensions, fines and penalties, withholding taxes, personal transfers (remittances), insurance-related transfers, and other current transfers. Secondary income receipts decreased to $27.8 billion from $40.1 billion after increasing in the second quarter. Second-quarter transactions included unusually large fines and penalties paid to the U.S. government, a component of U.S. government transfers (ITA Table 5.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=62). Secondary income payments increased to $62.7 billion from $62.1 billion, mostly due to an increase in private transfers (ITA Table 5.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=62). Capital Account Capital-account transactions are not available for the third quarter because source data are not yet available. Third-quarter capital-account transactions will be published with the release of the fourth-quarter U.S. International Transactions on March 19, 2015. In the second quarter, capital-account receipts and payments were near zero. Financial Account Net U.S. borrowing measured by financial-account transactions was $22.5 billion in the third quarter, up from $22.2 billion in the second quarter. Both net U.S. acquisition of financial assets excluding financial derivatives and net U.S. incurrence of liabilities excluding financial derivatives were higher than in the second quarter. Net transactions in financial derivatives other than reserves were negative in the third quarter, much more so than in the second quarter. Net U.S. acquisition of financial assets excluding financial derivatives Net U.S. acquisition of financial assets excluding financial derivatives was $358.2 billion in the third quarter, up from $241.6 billion in the second quarter. Direct investment assets (equity and debt instruments) Net acquisition of direct investment assets was $93.7 billion in the third quarter, up from $91.1 billion in the second quarter. The increase was more than accounted for by a shift to net investment in equity other than reinvestment of earnings. In contrast, net acquisition of (intercompany) debt instrument assets decreased (ITA Table 6.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=65). Portfolio investment assets (equity and investment fund shares and debt securities) Net U.S. acquisition of portfolio investment assets abroad (acquisitions in excess of sales) was $153.4 billion in the third quarter, down from $195.5 billion in the second quarter. Net U.S. purchases of foreign equity and investment fund shares increased to $127.4 billion from $91.5 billion. Net U.S. purchases of foreign debt securities decreased to $26.0 billion from $104.0 billion, reflecting, in part, a shift to net sales of commercial paper and a decrease of net purchases of other short-term securities (ITA Table 7.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=68). Other investment assets (currency and deposits, loans, insurance technical reserves, and trade credit and advances) Net U.S. acquisition of other investment assets abroad (acquisitions in excess of sales) was $112.0 billion in the third quarter, a shift from net sales of $45.8 billion in the second quarter. The shift to net acquisition reflected shifts to net acquisition of loans and deposit assets abroad (ITA Table 8.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=71). Reserve assets U.S. holdings of reserve assets abroad decreased $0.9 billion in the third quarter after increasing $0.8 billion in the second quarter. Net U.S. incurrence of liabilities excluding financial derivatives Net U.S. incurrence of liabilities to foreigners excluding financial derivatives was $356.4 billion in the third quarter, up from $261.0 billion in the second quarter. Direct investment liabilities (equity and debt instruments) Net incurrence of direct investment liabilities to foreigners was $65.4 billion in the third quarter, down from $77.7 billion in the second quarter. The decrease was more than accounted for by a decrease in the net incurrence of (intercompany) debt instrument liabilities (ITA Table 6.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=65). Portfolio investment liabilities (equity and investment fund shares and debt securities) Net U.S. incurrence of portfolio investment liabilities to foreigners was $250.9 billion in the third quarter, up from $67.8 billion in the second quarter. Net foreign purchases of U.S. equity and investment fund shares were $84.6 billion, up from $3.4 billion. Net foreign purchases of U.S. debt securities were $166.3 billion, up from $64.3 billion, reflecting an increase in net purchases of long-term corporate bonds and notes, lower net sales of U.S. Treasury bills and certificates, and a shift to net purchases of long-term federally sponsored agency securities (ITA Table 7.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=68). Other investment liabilities (currency and deposits, loans, insurance technical reserves, trade credit and advances, and special drawing rights allocations) Net U.S. incurrence of other investment liabilities to foreigners was $40.1 billion in the third quarter, down from $115.5 billion in the second quarter. The third-quarter decrease was mostly due to a decrease in the net incurrence of liabilities associated with foreign-resident deposits (ITA Table 8.1) (www.bea.gov/iTable/iTableHtml.cfm?reqid=62&step=6&isuri=1&6210=1&6200=71). Financial derivatives other than reserves Net transactions in financial derivatives other than reserves were –$24.3 billion in the third quarter, representing net borrowing. This was an increase from net borrowing of $2.8 billion in the second quarter. The third-quarter increase reflected the appreciation of the dollar as over-the-counter and exchange-traded contracts written to hedge currency exposures resulted in higher net cash receipts to U.S. residents (net borrowing). Transactions in financial derivatives are only available as a net value equal to transactions for assets less transactions for liabilities. A positive value represents net cash payments by U.S. residents to foreign residents from settlements of derivatives contracts (net lending) and a negative value represents net U.S. cash receipts (net borrowing). Statistical discrepancy The statistical discrepancy is the difference between net acquisition of assets and net incurrence of liabilities in the financial account (including financial derivatives) less the difference between total credits and total debits recorded in the current and capital accounts. The statistical discrepancy was $77.7 billion in the third quarter compared with $76.2 billion in the second quarter. * * * In the third quarter, the U.S. dollar appreciated 1.9 percent on a trade-weighted quarterly average basis against a group of 7 major currencies, after depreciating 0.7 percent on the same basis in the second quarter. From the beginning to the conclusion of the third quarter, the U.S. dollar’s nominal trade-weighted exchange value appreciated 7.1 percent against the major currencies index, as measured by the Federal Reserve. Exchange rate data are based on Federal Reserve Statistical Release H.10. * * * Revisions to second quarter 2014 The second-quarter 2014 international transactions are revised from previously published statistics. The current-account deficit in the second quarter of 2014 is revised downward to $98.4 billion from $98.5 billion. The goods deficit is revised upward to $189.3 billion from $189.2 billion. The services surplus is revised downward to $58.1 billion from $58.9 billion. The primary income surplus is revised upward to $54.8 billion from $53.1 billion. The secondary income deficit is revised upward to $22.0 billion from $21.4 billion. Second-quarter net borrowing from financial-account transactions is revised upward to $22.2 billion from $17.6 billion. Net U.S. acquisition of financial assets excluding financial derivatives is revised upward to $241.6 billion from $232.7 billion, and net U.S. incurrence of liabilities excluding financial derivatives is revised upward to $261.0 billion from $247.4 billion. * * * Release dates in 2015: Fourth Quarter and Year 2014..................................March 19, 2015 (Thursday) First Quarter 2015 and Annual Revisions........................June 18, 2015 (Thursday) Second Quarter 2015.......................................September 17, 2015 (Thursday) Third Quarter 2015.........................................December 17, 2015 (Thursday) * * * BEA’s national, international, regional, and industry statistics; the SURVEY OF CURRENT BUSINESS; and BEA news releases are available without charge on BEA’s Web site at (www.bea.gov). At the site, you can also subscribe to receive free e-mail summaries of BEA releases and announcements. --------------- NOTE: This news release is available on BEA's Web site along with Highlights (www.bea.gov/newsreleases/international/transactions/2014/pdf/trans314_fax.pdf) related to this release, the latest detailed statistics (www.bea.gov/iTable/index_ita.cfm) for U.S. international transactions, and a description of the estimation methods (www.bea.gov/international/concepts_methods.htm) used to compile them. The third-quarter statistics in this release are preliminary and will be revised on March 19, 2015. All links in the text of this release—including archived versions of this release—refer to the latest available statistics. December 17, 2014 Table 1. U.S. International Transactions--Continues [Millions of dollars] Change: Seasonally adjusted Change: Line 2012 2013 2012 to 2014:II to 2013 2013 2014 2014:III III IV I II r III p   Current account         1 Exports of goods and services and income receipts (credits).......................................... 3,085,260 3,178,744 93,484 796,943 814,014 806,089 831,291 829,104 -2,187 2 Exports of goods and services...................................................................... 2,216,540 2,280,194 63,654 570,756 581,692 574,187 586,576 591,999 5,423 3 Goods............................................................................................ 1,561,689 1,592,784 31,095 398,088 407,103 399,536 408,714 414,134 5,420 4 General merchandise............................................................................ 1,523,835 1,557,445 33,610 389,954 401,300 392,566 404,706 409,342 4,636 5 Foods, feeds, and beverages.................................................................. 132,905 136,184 3,279 33,292 37,797 35,764 35,556 33,366 -2,190 6 Industrial supplies and materials............................................................ 482,423 492,050 9,627 123,932 128,833 123,234 127,044 129,801 2,757 7 Capital goods except automotive.............................................................. 527,524 534,552 7,028 133,946 134,877 134,523 137,189 139,243 2,054 8 Automotive vehicles, parts, and engines...................................................... 146,150 152,556 6,406 38,710 38,593 37,270 39,863 42,392 2,529 9 Consumer goods except food and automotive.................................................... 180,967 188,359 7,392 46,858 47,373 48,314 50,087 50,241 154 10 Other general merchandise.................................................................... 53,865 53,744 -121 13,216 13,828 13,460 14,967 14,299 -668 11 Net exports of goods under merchanting......................................................... 566 616 50 150 149 141 116 137 21 12 Nonmonetary gold............................................................................... 7,289 34,724 -2,565 7,984 5,654 6,829 3,891 4,655 764 13 Services......................................................................................... 654,850 687,410 32,560 172,668 174,589 174,651 177,862 177,865 3 14 Maintenance and repair services n.i.e. ........................................................ 15,115 16,295 1,180 4,525 4,802 4,223 4,506 4,575 69 15 Transport...................................................................................... 83,592 87,267 3,675 21,335 22,180 22,037 22,445 22,628 183 16 Travel (for all purposes including education) /1/.............................................. 161,249 173,131 11,882 43,741 44,054 44,129 44,866 45,086 220 17 Insurance services............................................................................. 16,534 16,096 -438 4,045 4,080 4,007 4,146 4,145 -1 18 Financial services............................................................................. 76,605 84,066 7,461 20,734 22,081 21,184 22,710 22,111 -599 19 Charges for the use of intellectual property n.i.e. ........................................... 125,492 129,178 3,686 32,581 31,866 32,785 33,804 33,968 164 20 Telecommunications, computer, and information services......................................... 32,103 33,409 1,306 8,396 8,303 8,057 8,444 8,389 -55 21 Other business services........................................................................ 119,892 123,447 3,555 30,970 31,570 31,662 31,070 31,338 268 22 Government goods and services n.i.e. .......................................................... 24,267 24,522 255 6,343 5,653 6,566 5,871 5,624 -247 23 Primary income receipts ........................................................................... 762,885 780,120 17,235 196,002 200,446 200,213 204,612 209,324 4,712 24 Investment income................................................................................ 756,531 773,425 16,894 194,324 198,759 198,506 202,896 207,600 4,704 25 Direct investment income....................................................................... 460,329 466,706 6,377 117,248 120,357 116,417 118,155 121,570 3,415 26 Portfolio investment income.................................................................... 260,081 275,704 15,623 69,473 70,968 74,303 76,776 78,302 1,526 27 Other investment income........................................................................ 35,648 30,637 -5,011 7,525 7,368 7,690 7,891 7,659 -232 28 Reserve asset income........................................................................... 474 377 -97 78 66 96 74 70 -4 29 Compensation of employees........................................................................ 6,354 6,695 341 1,678 1,686 1,707 1,716 1,724 8 30 Secondary income (current transfer) receipts /2/................................................... 105,835 118,429 12,594 30,184 31,876 31,689 40,103 27,781 -12,322 31 Imports of goods and services and income payments (debits)........................................... 3,546,009 3,578,998 32,989 898,247 901,330 908,200 929,708 929,359 -349 32 Imports of goods and services...................................................................... 2,754,145 2,756,586 2,441 691,953 694,140 698,722 717,798 716,328 -1,470 33 Goods............................................................................................ 2,303,785 2,294,453 -9,332 576,024 576,193 581,875 598,025 596,205 -1,820 34 General merchandise............................................................................ 2,284,570 2,276,712 -7,858 571,971 572,027 578,054 594,283 591,952 -2,331 35 Foods, feeds, and beverages.................................................................. 111,129 116,024 4,895 28,986 29,143 30,106 32,433 32,241 -192 36 Industrial supplies and materials............................................................ 734,820 686,594 -48,226 171,747 167,653 174,760 170,529 166,906 -3,623 37 Capital goods except automotive.............................................................. 551,781 557,839 6,058 140,189 142,281 143,023 148,761 151,116 2,355 38 Automotive vehicles, parts, and engines...................................................... 298,504 309,571 11,067 79,187 79,808 77,464 83,406 83,659 253 39 Consumer goods except food and automotive.................................................... 518,829 533,946 15,117 133,757 135,414 134,964 140,475 139,015 -1,460 40 Other general merchandise.................................................................... 69,508 72,738 3,230 18,105 17,728 17,738 18,678 19,015 337 41 Nonmonetary gold............................................................................... 19,214 17,741 -1,473 4,053 4,166 3,820 3,743 4,254 511 42 Services......................................................................................... 450,360 462,134 11,774 115,929 117,947 116,848 119,772 120,123 351 43 Maintenance and repair services n.i.e. ........................................................ 7,970 7,620 -350 1,993 1,797 1,820 1,998 2,023 25 44 Transport...................................................................................... 85,029 90,754 5,725 22,521 23,299 23,051 23,469 23,545 76 45 Travel (for all purposes including education) /1/.............................................. 100,317 104,677 4,360 26,146 26,766 26,398 28,212 28,303 91 46 Insurance services............................................................................. 53,203 50,454 -2,749 12,920 12,348 11,966 12,331 12,047 -284 47 Financial services............................................................................. 16,975 18,683 1,708 4,626 5,058 4,615 4,849 4,852 3 48 Charges for the use of intellectual property n.i.e. ........................................... 39,502 39,015 -487 9,438 9,855 10,514 10,260 10,249 -11 49 Telecommunications, computer, and information services......................................... 32,156 32,877 721 8,295 8,415 8,276 8,298 8,411 113 50 Other business services........................................................................ 87,347 92,710 5,363 23,633 24,183 24,151 24,223 24,760 537 51 Government goods and services n.i.e. .......................................................... 27,861 25,343 -2,518 6,357 6,227 6,057 6,131 5,933 -198 52 Primary income payments............................................................................ 559,892 580,466 20,574 144,478 145,806 147,783 149,796 150,306 510 53 Investment income................................................................................ 545,088 564,897 19,809 140,557 141,857 143,956 145,800 146,316 516 54 Direct investment income....................................................................... 178,712 175,830 -2,882 43,217 43,667 43,206 44,975 43,674 -1,301 55 Portfolio investment income.................................................................... 345,251 372,738 27,487 93,434 94,374 97,277 97,179 99,146 1,967 56 Other investment income........................................................................ 21,125 16,329 -4,796 3,905 3,815 3,473 3,646 3,496 -150 57 Compensation of employees........................................................................ 14,804 15,569 765 3,922 3,950 3,827 3,996 3,990 -6 58 Secondary income (current transfer) payments /2/................................................... 231,972 241,945 9,973 61,816 61,384 61,695 62,114 62,725 611   Capital account 59 Capital transfer receipts and other credits.......................................................... 7,668 0 -7,668 0 0 0 0 n.a. n.a. 60 Capital transfer payments and other debits........................................................... 764 412 -352 146 (*) 43 2 n.a. n.a. December 17, 2014 Table 1. U.S. International Transactions--Table Ends [Millions of dollars] Change: Seasonally adjusted Change: Line 2012 2013 2012 to 2014:II to 2013 2013 2014 2014:III III IV I II r III p   Financial account               61 Net U.S. acquisition of financial assets excluding financial derivatives (net increase in assets / financial outflow (+))......................................... 171,418 644,763 473,345 83,999 195,454 143,310 241,573 358,180 116,607 62 Direct investment assets........................................................................... 375,537 408,243 32,706 105,008 104,296 31,564 91,137 93,727 2,590 63 Equity........................................................................................... 319,024 352,106 33,082 99,586 86,087 50,091 84,916 93,717 8,801 64 Debt instruments................................................................................. 56,513 56,137 -376 5,422 18,210 -18,527 6,221 9 -6,212 65 Portfolio investment assets........................................................................ 239,773 489,877 250,104 61,121 155,892 100,674 195,471 153,370 -42,101 66 Equity and investment fund shares................................................................ 103,254 275,244 171,990 19,686 95,443 81,259 91,480 127,416 35,936 67 Debt securities.................................................................................. 136,519 214,633 78,114 41,435 60,449 19,415 103,991 25,953 -78,038 68 Short term..................................................................................... -6,598 45,373 51,971 17,508 -14,913 -12,213 45,733 -11,133 -56,866 69 Long term...................................................................................... 143,117 169,260 26,143 23,927 75,362 31,629 58,258 37,087 -21,171 70 Other investment assets............................................................................ -448,352 -250,260 198,092 -81,129 -61,952 12,028 -45,809 111,972 157,781 71 Currency and deposits............................................................................ -515,933 -115,641 400,292 -37,055 -1,305 -32,979 -19,542 33,118 52,660 72 Loans............................................................................................ 66,892 -137,978 -204,870 -44,021 -61,889 56,790 -27,586 80,850 108,436 73 Insurance technical reserves..................................................................... n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. 74 Trade credit and advances........................................................................ 689 3,359 2,670 -53 1,242 -11,783 1,319 -1,996 -3,315 75 Reserve assets..................................................................................... 4,460 -3,097 -7,557 -1,001 -2,782 -956 773 -889 -1,662 76 Monetary gold.................................................................................... 0 0 0 0 0 0 0 0 0 77 Special drawing rights........................................................................... 37 22 -15 5 6 8 8 4 -4 78 Reserve position in the International Monetary Fund.............................................. 4,032 -3,438 -7,470 -1,071 -2,835 -1,040 710 -951 -1,661 79 Other reserve assets............................................................................. 391 319 -72 65 47 76 55 59 4 80 Currency and deposits.......................................................................... 24 3 -21 1 1 2 2 1 -1 81 Securities..................................................................................... 365 315 -50 64 45 72 51 58 7 82 Financial derivatives.......................................................................... 0 0 0 0 0 0 0 0 0 83 Other claims................................................................................... 3 1 -2 (*) 1 2 2 (*) -2 84 Net U.S. incurrence of liabilities excluding financial derivatives (net increase in liabilities / financial inflow (+))................................................. 601,973 1,017,669 415,696 165,707 341,838 239,750 260,974 356,420 95,446 85 Direct investment liabilities...................................................................... 217,777 294,972 77,195 71,130 97,161 -121,707 77,711 65,379 -12,332 86 Equity........................................................................................... 191,427 226,834 35,407 55,579 69,487 -100,419 63,331 63,650 319 87 Debt instruments................................................................................. 26,349 68,138 41,789 15,551 27,673 -21,288 14,380 1,729 -12,651 88 Portfolio investment liabilities................................................................... 746,996 490,943 -256,053 207,881 153,226 237,867 67,750 250,943 183,193 89 Equity and investment fund shares................................................................ 239,060 -85,407 -324,467 61,828 -91,980 93,624 3,418 84,647 81,229 90 Debt securities.................................................................................. 507,936 576,351 68,415 146,052 245,207 144,244 64,331 166,295 101,964 91 Short term..................................................................................... 16,281 46,718 30,437 -52,805 63,085 12,897 -27,363 -6,009 21,354 92 Long term...................................................................................... 491,655 529,632 37,977 198,857 182,122 131,347 91,694 172,304 80,610 93 Other investment liabilities....................................................................... -362,799 231,753 594,552 -113,303 91,451 123,590 115,513 40,098 -75,415 94 Currency and deposits............................................................................ -245,009 172,286 417,295 -21,130 82,773 3,212 105,061 39,105 -65,956 95 Loans............................................................................................ -129,409 47,606 177,015 -94,906 4,994 110,910 7,340 5,735 -1,605 96 Insurance technical reserves..................................................................... n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. 97 Trade credit and advances........................................................................ 11,619 11,861 242 2,733 3,684 9,468 3,113 -4,742 -7,855 98 Special drawing rights allocations............................................................... 0 0 0 0 0 0 0 0 0 99 Financial derivatives other than reserves, net transactions /3/...................................... 7,064 2,248 -4,816 6,569 2,929 5,277 -2,804 -24,267 -21,463   Statistical discrepancy                   100 Statistical discrepancy /4/.......................................................................... 30,353 30,008 -345 26,311 -56,138 10,991 76,213 77,748 1,535   Balances                   101 Balance on current account (line 1 less line 31) /5/................................................. -460,749 -400,254 60,495 -101,305 -87,317 -102,111 -98,417 -100,255 -1,838 102 Balance on goods and services (line 2 less line 32)................................................ -537,605 -476,392 61,213 -121,197 -112,448 -124,535 -131,222 -124,329 6,893 103 Balance on goods (line 3 less line 33)........................................................... -742,095 -701,669 40,426 -177,936 -169,090 -182,338 -189,311 -182,071 7,240 104 Balance on services (line 13 less line 42)....................................................... 204,490 225,276 20,786 56,739 56,642 57,803 58,090 57,742 -348 105 Balance on primary income (line 23 less line 52)................................................... 202,993 199,654 -3,339 51,524 54,639 52,430 54,816 59,018 4,202 106 Balance on secondary income (line 30 less line 58)................................................. -126,138 -123,515 2,623 -31,632 -29,508 -30,006 -22,011 -34,944 -12,933 107 Balance on capital account (line 59 less line 60) /5/................................................ 6,904 -412 -7,316 -146 (*) -43 -2 n.a. n.a. 108 Net lending (+) or net borrowing (-) from current- and capital- account transactions (line 101 plus line 107) /6/.................................................... -453,845 -400,666 53,179 -101,450 -87,317 -102,153 -98,419 -100,255 -1,836 109 Net lending (+) or net borrowing (-) from financial-account transactions (line 61 less line 84 plus line 99) /6/................................................. -423,492 -370,658 52,834 -75,140 -143,455 -91,162 -22,205 -22,507 -302 p Preliminary r Revised n.a. Not available (*) Transactions are between zero and +/- $500,000 1 All travel purposes include 1) business travel, including expenditures by border, seasonal, and other short-term workers and 2) personal travel, including health-related and education-related travel. 2 Secondary income (current transfer) receipts and payments include U.S. government and private transfers, such as U.S. government grants and pensions, fines and penalties, withholding taxes, personal transfers (remittances), insurance-related transfers, and other current transfers. 3 Transactions for financial derivatives are only available as a net value equal to transactions for assets less transactions for liabilities. A positive value represents net U.S. cash payments arising from derivatives contracts, and a negative value represents net U.S. cash receipts. 4 The statistical discrepancy, which can be calculated as line 109 less line 108, is the difference between total debits and total credits recorded in the current, capital, and financial accounts. In the current and capital accounts, credits and debits are labeled in the table. In the financial account, an acquisition of an asset or a repayment of a liability is a debit, and an incurrence of a liability or a disposal of an asset is a credit. 5 Current- and capital-account statistics in the international transactions accounts differ slightly from statistics in the National Income and Product Accounts (NIPAs) because of adjustments made to convert the international transactions statistics to national economic accounting concepts. A reconciliation between annual statistics in the two sets of accounts appears in NIPA table 4.3B (www.bea.gov/iTable/iTable.cfm?reqid=9&step=3&isuri=1&903=136#reqid=9&step=3&isuri=1&903=136). 6 Net lending means that U.S. residents are net suppliers of funds to foreign residents, and net borrowing means the opposite. Net lending or net borrowing can be computed from current- and capital-account transactions or from financial-account transactions. The two amounts differ by the statistical discrepancy. Note: Details may not add to totals because of rounding. Source: U. S. Bureau of Economic Analysis