Finance assigment Assignment Example | Topics and Well Written Essays - 500 words

Finance assigment - Assignment Example Current account balance has been the best in the year 2008 indicating the increased exports and decreased imports thus showing surplus. The country still has the potential as well as need to improve the current account balance by increasing exports. Capital transfer has been the same throughout although it indicates stability in investments but still need to improve as direct investments have declined to dangerous extends showing a negative value. Balance of payment is extremely important for a business. It helps the business evaluate the gap between receipts and payments. The focus of the business should be to increase exports and decrease imports in order to make the business self sufficient. It helps business establish ways to create goods that can substitute imports. It helps business establish backward integration. IT invites investments as number of recipients increase as a result businesses flourish. While payments increases capital outflows so the balance of payments give the strategic managers the idea to implement a plan that should focus in reducing payments and increasing receipts result in surplus of balance of