If there is a small surplus in the combined current account plus capital and financial account for a certain year, then to make the two accounts balance, there will be

Respuesta :

To make the two account balance, there will be AN INCREASE IN OFFICIAL RESERVE HOLDINGS.
Official reserve holding refers to a country total trade able foreign currencies, gold reserves and special drawing rights. The official reserve holding is a sub division of the capital account and it is used to balance payment on a yearly basis by the central bank of the concerned nation.
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