Balance of payment is a statistical summary of all transactions in an economy between resident and non-resident in a given period. These transactions or exchanges have to cross the border and change ownership as a precondition to be recorded as balance of payment transactions.
The objective of recording balance of payment is primarily to understand the performance of the reporting economy to the rest of the world i.e. how the economy relates to the rest of the world.
The balance of payment statement is subdivided into three major accounts namely current, capital, and financial accounts. Each of these accounts records specific items according to the international system of accounts.
Generally, the balance of payment statement has to be balanced, however imbalances occur due to data source issues and recording as well as compiler’s skills.
The bank of South Sudan started recording balance of payment statistics in 2014 after having had technical assistance missions from the International Monetary Fund. So far the bank had shared or submitted four (4) statements to the IMF