The country’s gross international reserves (GIR) as of end-September 2000 stood at $14.9 billion, down by 3.4 percent from the end-August level of $15.4 billion and 1.3 percent lower than the end-December 1999 level of $15.1 billion. Notwithstanding the decline in reserves, the end-September GIR level remained high at 4.5 months of imports of goods and services.
The decline in reserves was due primarily to the BSP’s foreign exchange sales to the National Government for its debt service requirements as well as to BSP’s own foreign exchange requirements.
As a consequence, the BSP’s net international reserves (BSP-NIR), defined as the difference between the BSP’s total foreign assets and its short-term foreign liabilities (including use of fund credits), fell to $11.3 billion as of end-September. This was lower by $518 million and $422 million than the end-August 2000 and end-1999 levels, respectively.