When Canada sends money to Haiti to help hurricane survivors, the transaction is recorded in

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When Canada sends money to Haiti to help hurricane survivors, it involves transfer of funds for goods and services (humanitarian aid) which falls under the current account. The current account of the Balance of Payments (BOP) records transactions related to the export and import of goods and services, giving a measure of a country's net income and transfers. The capital account (A) measures capital transfers while the financial account (C) focuses on financial assets and liabilities, and their changes. The foreign exchange account (D) doesn't exist in the BOP structure, and the official settlements account (E) combines the current, capital and financial accounts.

When Canada Sends Money to Haiti to Help Hurricane Survivors