What is balance of payments in SAP FI-LOC - Localization?

SAP Term: balance of payments

• Component: FI-LOC

• Component Name: Localization

• Description: SAP reports that collect financial data about transactions that a company performs with its partners abroad. Using these reports, companies prepare files and send them to the National Bank of the corresponding country. With this information, the National Bank creates the Balance of Payments of the country, that is, a declaration about the economic transactions performed between residents and non-residents over a given period.

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• Key Concepts: 
  Balance of payments is a term used in SAP FI-LOC Localization to refer to the difference between the total value of a country's imports and exports. It is used to measure the economic health of a country and its ability to pay for goods and services. 
  
  How to use it: 
  In SAP FI-LOC Localization, balance of payments is used to track the difference between a country's imports and exports. This information can be used to assess the economic health of a country and its ability to pay for goods and services. 
  
  Tips & Tricks: 
  When tracking balance of payments in SAP FI-LOC Localization, it is important to remember that the balance of payments is not necessarily indicative of a country's overall economic health. It is important to consider other factors such as GDP, inflation, and unemployment when assessing a country's economic health. 
  
  Related Information: 
  For more information on balance of payments in SAP FI-LOC Localization, please refer to the SAP Help Portal or contact your local SAP representative.