Current account transaction covers non capital cross border payments including trade, services, interest and personal remittances. Current account transaction under the Foreign Exchange Management framework is any cross border payment or receipt that is not a capital account transaction, including payments for foreign trade, ordinary business, services, short term banking and credit facilities, interest on loans and net investment income, remittances for living expenses of immediate family abroad, and expenses for foreign travel, education and medical care; such transactions are regulated by the statutory provision and subsidiary rules governing current account transactions.