This economic metric captures the
valuable flow of transfers between economies that occur without the exchange of goods, services, or investments. These transactions often include remittances sent by expatriates, social security payments, and foreign aid, highlighting the interconnectedness of global financial relationships. By recording these inflows and outflows in current U.S. dollars, the data reflects real-time economic interactions and provides insight into the financial resilience of households and communities. This indicator serves as a crucial barometer for understanding economic welfare and dependency, as it reveals how much
support economies receive from abroad versus what they contribute, thereby informing policy decisions and international development strategies.
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