This economic metric captures the
net flow of income between residents and non-residents, encompassing all forms of employee compensation for nonresident workers, as well as income generated from investments. It includes payments and receipts related to various investment categories, such as direct investments, portfolio investments, and other financial instruments, alongside earnings from reserve assets. Expressed in current U.S. dollars, this indicator offers valuable insights into a country’s economic interactions and
dependency on foreign labor and investment income. A positive net primary income suggests a nation is earning more from abroad than it pays out, reflecting favorable economic conditions, while a negative figure may indicate reliance on international sources for income and potential vulnerabilities in economic stability.
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