Glossary
Compensation & Counter Trade
Agreements on reciprocal exchange of goods without the transfer of currency.
The resulting cross-national value transmission is processed only in the form of goods or services.
Developing countries practice from capital goods imports to protect their balance of payment and to support the global marketing of uncompetitive domestic goods.
For developing countries this exchange of goods is a means to establish long-term commercial relationships and to transfer technology and it serves for the strategic employment creation.