Regulation (EU) No 549/2013 of the European Parliament and of the Council of 21 May 2013 on the European system of national and regional accounts in the European Union Text with EEA relevance

Table 8.13 —  Account III.3.1: other changes in volume of assets account (continued)

Table 8.14 —  Account III.3.2: revaluation account

Table 8.14 —  Account III.3.2: revaluation account (continued)

Table 8.14 —  Account III.3.2.1: neutral holding gains and losses account

Table 8.14 —  Account III.3.2.1: neutral holding gains and losses account (continued)

Table 8.14 —  Account III.3.2.2: real holding gains and losses account

Table 8.14 —  Account III.3.2.2: real holding gains and losses account (continued)

Balance sheets (IV)

• 8.60The aim of the balance sheets is to give a picture of the assets, liabilities and net worth of units at the start and end of the accounting period and of changes between balance sheets. The sequence is as follows:

• (a) opening balance sheet (IV.1);

• (b) changes in balance sheet (IV.2);

• (c) closing balance sheet (IV.3).

Opening balance sheet (IV.1)

• 8.61The opening balance sheet records the value of assets and liabilities held by units at the start of the accounting period.

• These items are categorised on the basis of the classification of assets and liabilities.

• They are valued at prices current at the start of the accounting period. The difference between assets and liabilities — the balancing item in the account — is the net worth at the start of the accounting period.

Changes in balance sheet (IV.2)

• 8.62The changes in balance sheet account records changes in the value of assets and liabilities in the course of the accounting period and aggregates the amounts recorded in the various accumulation accounts, i.e. change in net worth due to saving and capital transfers, change in net worth due to other volume changes in assets and change in net worth due to nominal holding gains and losses.

Closing balance sheet (IV.3)

• 8.63The closing balance sheet records the value of assets and liabilities held by units at the end of the accounting period. These items are categorised on the basis of the same classification used in the opening balance sheet and are valued at prices current at the end of the period.

• The difference between assets and liabilities is the net worth at the end of the accounting period.

• 8.64The value of an asset or liability in the closing balance sheets is equal to the sum of its value in the opening balance sheets and the amount recorded for the said item in the changes in balance sheet account.

Table 8.15 —  Account IV.1: balance sheets — opening balance sheet

Table 8.15 —  Account IV.1: balance sheets — opening balance sheet (continued)

Table 8.15 —  Account IV.2: balance sheets — changes in balance sheet

Table 8.15 —  Account IV. 2: balance sheets — changes in balance sheet (continued)

Table 8.15 —  Account IV.3: balance sheets — closing balance sheet

Table 8.15 —  Account IV.3: balance sheets — closing balance sheet (continued)

REST OF THE WORLD ACCOUNTS (V)

• 8.65The rest of the world accounts record transactions between resident and non-resident units. The rest of the world does not constitute an institutional sector as such, but in the structure of the system it plays a similar role.

• 8.66The sequence of rest of the world accounts follows the same general pattern as the institutional sector accounts, i.e.:

• (a) current accounts,

• (b) accumulation accounts,

• (c) balance sheets.

• 8.67The accounts listed in points (a) to (c) of paragraph 8.66 are drawn up from the point of view of the rest of the world. Thus, what is a resource for the rest of the world is a use for the total economy and vice versa. By the same token, a financial asset held by the rest of the world is a liability for the total economy and vice versa). An exception is gold bullion held as reserve assets, which despite having no counterpart liability, are recorded in the financial account because of their role in international payments.

Current accounts

External account of goods and services (V.I)

• 8.68Imports of goods and services are recorded on the resources side of the account and exports of goods and services on the uses side. The difference between resources and uses is the balancing item in the account, called 'external balance of goods and services'. If it is positive, there is a surplus for the rest of the world and a deficit for the total economy and vice versa if it is negative.

• 8.69Imports and exports are both valued at the customs frontier of the exporting country. For exports, the values will be collected at prices which are 'free on board' (FOB). The import values will be collected at prices including 'carriage, insurance and freight' (CIF) incurred between the country of origin and the importing country i.e. on a CIF basis. In order to reduce the import value to a free on board basis reflecting the value at the frontier of the country of origin, the CIF element must be subtracted from the goods value measured at the point of entry of the importing country. This CIF element is then allocated to the appropriate service activities, either as imports in the case of non-resident units, and domestic output in the case of resident units providing these services.

• When transport and insurance services included in the FOB value of imports of goods (i.e. between the factory and the border of the country of export) are provided by resident units, they must be included in the value of exports of services by the economy importing the goods. Conversely, when transport and insurance services included in the FOB value of exports of goods are provided by non-resident units they must be included in the value of imports of services by the economy exporting the goods.

External account of primary incomes and current transfers (V.II)

• 8.70The purpose of the external account of primary incomes and current transfers is to determine the current external balance, which, in the structure of the system, corresponds to saving by the institutional sectors. This account is a condensed version of the sequence, for an institutional sector, extending from the allocation of primary income account to the use of income account.

• 8.71On the resources side, the external account of primary incomes and current transfers shows the external balance of goods and services. It also records, on the resources or uses side, all distributive transactions which may involve the rest of the world, apart from capital transfers.

External accumulation accounts (V.III)

Capital account (V.III.1)

• 8.72The rest of the world capital account records acquisitions less disposals of non-produced assets by non-resident units and measures the changes in net worth due to current external balance and capital transfers.

• 8.73The balancing item of the capital account is the net lending or borrowing of the rest of the world. It is equal, but has the opposite sign, to the sum of the net lending or borrowing of the resident institutional sectors.

Financial account (V.III.2)

• 8.74The layout of the rest of the world financial account is identical to that of the institutional sectors' financial account.

Other changes in assets account (V.III.3)

• 8.75As for the institutional sectors, the changes in net worth due to other changes in volume of assets and due to nominal holding gains and losses are determined successively, holding gains and losses themselves being broken down into neutral and real holding gains and losses.

• 8.76The absence of produced assets in the accumulation accounts and balance sheets of the rest of the world is due to the convention whereby a notional institutional unit is created, the rest of the world being deemed to have acquired a financial asset — and vice versa for assets held in other economies by resident units.

Balance sheets (V.IV)

• 8.77The balance sheets of the rest of the world contain financial assets and liabilities. On the assets side, they also record the total acquisitions less disposals between non-resident and resident units of monetary gold and SDRs.

Table 8.16 —  Full sequence of accounts for the rest of the world (external transactions account)

V.I:  external account of goods and services

Table 8.16 —  Full sequence of accounts for the rest of the world (external transactions account) (continued)

V.II:  external account of primary incomes and current transfers

Full sequence of accounts for the rest of the world (external transactions account) (continued)

accumulation accountscapital accountschange in net worth due to current external balance and capital transfers account

V.III.1.2:  acquisition of non-financial assets

Table 8.16 —  Full sequence of accounts for the rest of the world (external transactions account) (continued)

V.III.2:  financial account

Table 8.16 —  Full sequence of accounts for the rest of the world (external transactions account) (continued)

V.III.3:  other changes in assets accounts

V.III.3.1:  other changes in volume of assets account

Full sequence of accounts for the rest of the world (external transactions account) (continued)

other changes in assets accountsrevaluation account

V.III.3.2.1:  neutral holding gains/losses account

V.III.3.2.2:  real holding gains/losses account

Full sequence of accounts for the rest of the world (external transactions account) (continued)

external assets and liabilities accountopening balance sheet

V.IV.2:  changes in balance sheet