Impact of IMF Targets and Conditionalities on the Economy Table 5.2: BOP Projections by the IMF – ($ million) SUMMARY Current Account Deficit Capital Account Financial Account Surplus Net Errors& Omissions Overall Balance of Payments Augmented IMF Funding Change in Reserves CURRENT ACCOUNT –($ million) Balance of Trade in Goods Exports Imports Balance of Trade in Services Exports Imports Primary Income(Net) TT Secondary Income(Net) Worker’s Remittances Other Transfers CURRENT ACCOUNT DEFICIT FINANCIAL ACCOUNT –($ million) FINANCIAL ACCOUNT SURPLUS Foreign Direct Investment Portfolio Investment General Government(Net) Disbursements Amortization Others Others 2021-22 -17,461 208 10,355 -608 -7,504 36 -7,469 2021-22 -40,140 31,877 72,017 -3,690 6,832 10,522 -5,288 2,774 31,658 30,117 1,451 -17,461 2021-22 10,355 2,583 447 6,074 10,729 8,288 3,633 1,251 2022-23 -9,280 161 12,682 0 +3,563 +2,841 6,405 2022-23 -32,856 45,900 68,756 -3,507 7,043 10,550 -4,763 2,247 31,846 28,958 2,647 -9,280 2022-23 12,682 2,356 3,210 7,062 19,476 12,414 ­240 Balance of Payments: The detailed projections are in Table 5.2. The current account is projected to come down sharply from 4.7 percent of the GDP in 2021-22 to only 2.5 percent of the GDP in 2022-23. This is to be achieved by an increase in merchandize exports of almost 13 percent and a reduction in imports by 5 percent. The latter is more likely, especially if the international oil price falls significantly, as is happening currently. 67