Net foreign assets

In economics, the concept of net foreign assets relates to balance of payments identity.

The net foreign asset (NFA) position of a country is the value of its net claims on the rest of the world (RoW), i. e. the value of the assets that country owns abroad, minus the value of the domestic assets owned by foreigners:

${\displaystyle {\mbox{NFA}}={\mbox{Assets}}-{\mbox{Liabilities}}}$

The net foreign asset position of a country reflects the indebtedness of that country.