Hello, international capital flow refers to the transfer of capital from one country or region to another. International capital flows are related to the balance of payments, mainly reflected in the capital and financial accounts of the balance of payments. As a basic form of international economic exchange, international capital flow is different from commodity trading characterized by ownership transfer. It is characterized by the transfer of the right to use and aims at making profits or balancing the international balance of payments.

International capital flows include capital outflow and capital inflow.

Pay attention to distinguish several related concepts.

(1) International capital flow and capital input and output.

Capital input and output usually refer to profit-oriented capital flows related to financial activities such as investment and lending, so they cannot cover all the contents of capital flows. For example, a country uses gold and foreign exchange to make up the balance of payments deficit. Obviously, this part of the capital outflow is only used as an international payment means to balance the balance of payments, not to obtain high profits, so it is not a capital output.

(2) International capital flow and capital flow.

Capital flow refers to the one-off and irreversible flow and transfer of funds, which is equivalent to the current account balance of payments. At present, the payable of export trade is unified as one-time exchange, which belongs to current account payment.

Capital flow is capital transfer, which can be transformed. For example, the outflow of investment or loan capital is accompanied by the return of profits and interest and the return of investment capital or loan principal.