Balance of trade is said to be favourable when

Balance of trade refers to the difference between a country's exports and imports of goods and services over a certain period of time. When a country's visible exports (physical goods) exceed its visible imports (physical goods), the balance of trade is said to be favorable. This means that the country is exporting more than it is importing, which can have a positive impact on the country's economy, as it can earn foreign exchange, create jobs, and stimulate economic growth.