Which of the following item will be entered on the credit side of the current account in the Balance of Payment of a country?

CBSE Class 12 Economics Exam, Question 4: Which of the following item will be entered on the credit side of the current account in the Balance of Payment of a country? (Choose the correct alternative)

(a) Borrowings from abroad

(b) Import of Machinery

(c) Export of tea

(d) Foreign Direct Investment

The correct answer is (c) Export of tea.

The item ‘Export of tea’ will be entered on the credit side of the current account in the Balance of Payment of a country.