The country’s gross international reserves (GIR) stood at US$32.46 billion as of end-November 2007. At this level, reserves could cover 5.8 months of imports of goods and payments of services and income. This level is also equivalent to 5.5 times the country’s short-term external debt based on original maturity and 3.3 times based on residual maturity. 1
The end-November 2007 GIR level, however, was slightly lower by 0.1 percent compared to US$32.50 billion a month ago. The month-on-month decline in the GIR level was attributed mainly to outflows arising from the Bangko Sentral’s net foreign exchange (FX) operations and payments of maturing FX obligations of the National Government and the BSP. These outflows were offset partly by the receipt of income from the BSP’s investments abroad, as well as the Power Sector Assets and Liabilities Management Corporation’s (PSALM) deposit with the BSP of proceeds from the sale of some of its assets as part of PSALM’s privatization program.
Net international reserves (NIR) level, including revaluation of reserve assets and reserve-related liabilities, stood at US$32.44 billion from the end-October 2007 level of US$32.47 billion. NIR refers to the difference between the BSP’s GIR and total short-term liabilities.
1Short-term debt based on residual maturity refers to outstanding external debt with original maturity of one year or less, plus principal payments on medium- and long-term loans of the public and private sectors falling due within the next 12 months.