Supplementary information:
1. In the balance of payments, capital account is one of the two main items juxtaposed with current account, which is used to count the balance of payments of capital, mainly including capital and reserves.
2. Capital, mainly including direct investment and securities investment. The former refers to a company, enterprise or individual of one country setting up an enterprise in another country to directly carry out production or commercial activities. The ownership of an enterprise is concentrated in the hands of a foreign investor or investor group. The direct investment in the balance of payments capital account includes both foreign direct investment in China and domestic direct investment in foreign countries. Securities investment refers to the investment that companies, enterprises and individuals buy long-term treasury bonds, corporate bonds, bills, stocks and options and other money market tools and financial innovation tools from another country. In many countries, foreign investors or investor groups own more than 10-25% of the voting shares as direct investment. In addition, the capital account also includes some other capital trading activities not included in the above two investments, such as trade credit, loans, money and deposits. Among them, the credit principal is credited to the capital account and the interest is credited to the current account.
3. The reserve account is actually a means used by a country to balance its international payments or intervene in its currency exchange rate. Reserve items mainly include monetary gold (that is, gold held by a country as monetary funds), foreign exchange reserves, special drawing rights of the International Monetary Fund, reserve positions of IMF member countries in the IMF, and foreign exchange, such as currency, deposits, negotiable and discounted securities and other creditor's rights.
Current account refers to the flow of physical assets between a country and other countries, which is closely related to the national income account of the country and is also the most basic and important part of the balance of payments. Including goods, services, income and current transfers. Current account foreign exchange income specifically includes foreign exchange income from export or transit of goods and other transactions; Foreign exchange of domestic duty-free goods under customs supervision. Current account foreign exchange expenditure specifically includes trade import payment; The mantissa and other capital items under import reflect the international changes of creditor's rights and debts expressed in currency between China and foreign countries, in other words, it is the cross-border income and expenditure items of capital that occur in international economic transactions for some economic purpose. Capital account includes the transfer of assets or financial assets between residents and non-residents.