An institutional unit is an economic unit that is capable, in its own right, of owning assets, incurring liabilities and engaging in economic activities and in transactions with other entities. Thus an institutional unit is entitled to own goods or assets in its own right; to exchange ownership of goods or assets in transactions with other institutional units,is able to take economic decisions and engage in economic activities for which it is itself held to be directly responsible and accountable at law, is able to incur liabilities on its own behalf, to take on other obligations or future commitments and to enter into contracts, has a complete set of accounts or it would be possible to compile a complete set of accounts if they were required.