What is meant by visible and invisible items in BOP Account? Give two examples of invisible items.
Visible and Invisible items. Visible items of BOP account are those material goods which are seen crossing the border. These are actually recorded at ports. Examples of visible items are exports and imports of goods like machinery, rice, tea, cloth, etc. because they are visible to eyes. Again the balance of exports and imports of goods is called balance of visible trade. Invisible items of BOP account are those which are not seen crossing the borders. These are not recorded at ports. All types of services like services of shipping, banking, tourism, investment services and unilateral transfers are invisible items. The balance of exports and imports of invisibles is called balance of invisible trade.
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