net foreign investment

(economics/foreign investment) The net change in a nation’s foreign assets and liabilities, including the monetary gold stocks, arising out of current trade, income on foreign investment, and cash gifts and contributions. It measures the excess of: (1) exports over imports, (2) income on U.S. public and private investment abroad over payments on foreign investment in the U.S., and (3) cash gifts and contributions of the U.S. (public and private) to foreigners over cash gifts and contributions received from abroad.
Net foreign investment may also be viewed as the acquisition of foreign assets by that country’s residents, less the acquisition of that country’s assets by foreign residents.

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