| No. | Item | Million USD |
| 1 | Exports (of Goods only) | 180 |
| 2 | Imports (of Goods only) | 260 |
| 3 | Net Invisibles | |
| a. Non-factor services | 40 | |
| b. Income | -20 | |
| c. Transfers | 34 |
On the basis of the above table, the Current Account Balance will be _____________.
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → -26 million USD
Given (million USD):
Exports of goods = 180
Imports of goods = 260
Non-factor services = 40
Income = −20
Transfers = 34
The current account balance is the balance of trade plus net invisibles.
Balance of trade = 180 − 260 = −80
Net invisibles = 40 − 20 + 34 = 54
Current account balance = −80 + 54
Current account balance = −26 million USD
Note: The balance of payments table of the NCERT book prints Trade Balance as [2 – 1]. It should read [1 – 2], exports minus imports, which gives its figure of −90.
NCERT (2026-27): Introductory Macroeconomics — Chapter 6: Open Economy Macroeconomics
|

