Definition: Capital injections in kind
Capital injections in kind are when government transfers the ownership of fixed capital assets from itself to a public corporation. Straightforward cases of a gift by government to the corporation should be recorded as investment grants, with corresponding negative amounts recorded in fixed capital formation. This leaves government net borrowing unchanged. In more complicated cases, where the injection in kind is associated with other restructuring of assets and liabilities and, perhaps the creation of new units, it is better to record the outcome in the other changes in the volume of assets account (K.10) or changes in classification and structure account (K.12).
Eurostat, "ESA 95 manual on government deficit and debt, 2002 Edition", Office for Official Publications of the European Communities, Luxembourg, 2002, Chapter II.3