The deficit in the Balance of Payment (BOP) is governed by the balance of autonomous transactions in the BOP. The BOP would show a deficit if the autonomous receipts are lesser than the autonomous payments. As autonomous receipt implies a receipt of foreign exchange and autonomous payment implies a payment of foreign exchange, so, it can be said that BOP would show a deficit when the foreign exchange receipts are less than foreign exchange payment which also means that the BOP deficit would reflect depletion of foreign exchange reserves of the country.