joemoran

So to summarize:
a) If China gives a gift (unilateral transfer), it causes a current account deficit in China and a currency account surplus in Country B.
b) If China provides financial assistance (this assumes there will be repayment made) for OVER ONE YEAR term, it causes a CAPITAL account deficit in China and a CAPITAL account surplus in Country B.
c) If China provides financial assistance (this assumes there will be repayment made) for UNDER ONE YEAR term, it causes a CURRENT account deficit in China and a CURRENT account surplus in Country B.
Is all that accurate?