Define foreign exchange What are unilateral transfers is the given definition of unilateral transfer is right - Economics - Open Economy Macroeconomics

Question

Define foreign exchange
What are unilateral transfers?
is the given definition of unilateral transfer is right ? if not
then pls give me the right definition
UNILATERAL TRANSFERS ARE RECEIPTS WHICH RESIDENTS OF A COUNTRY
RECEIVE OR PAYMENTS THAT THE RESIDENTS OF A COUNTRY MAKE WITHOUT
GETTING ANYTHING IN RETURNS, I E , RECEIPTS OR PAYMENTS FOR WHICH
THERE IS NO QUID PRO QUO THESE ARE A PART OF INVISIBLE ITEMS

Richa Gupta · Accepted Answer

Foreign
exchange refers to the stock of
foreign currency held by a country at a particular point of
time

Yes, the given
definition of Unilateral Transfers is correct However, you may
further refer to the below mentioned definition of Unilateral
Transfers

Unilateral transfers refer to the one-sided
transfers such as gifts, donations, grants from foreign
governments, etc A country makes such transfers to the rest of the
world as well as receives transfers from the rest of the world
Receipts of unilateral transfers are recorded as positive items in
the Current Account of BOP,
while payments of unilateral transfers are recorded as negative
items in the Current Account of
BOP