The country’s gross international reserves (GIR) level rose to US$43.7 billion as of end-November 2009, US$0.5 billion higher than the end-October 2009 level of US$43.2 billion, Bangko Sentral ng Pilipinas (BSP) Governor Amando M. Tetangco, Jr. announced today. At this level, reserves could cover 8.1 months of imports of goods and payments of services and income. Reserves are also equivalent to 9.2 times the country’s short-term external debt based on original maturity and 4.2 times based on residual maturity. 1
The continued build-up in the GIR level was due mainly to revaluation gains on the BSP’s gold holdings on account of the sustained rise in the price of gold in the international market, foreign currency deposit by the National Government (NG) of its loan proceeds, as well as income from the BSP’s investments abroad. These receipts were offset by outflows arising from the payment of maturing foreign exchange obligations of the NG and the BSP, and foreign currency withdrawals by authorized agent banks (AABs).
The level of net international reserves (NIR), which includes revaluation of reserve assets and reserve-related liabilities, likewise rose to US$43.7 billion as of end-November 2009, US$0.5 billion higher than the previous month’s level of US$43.2 billion. NIR refers to the difference between the BSP’s GIR and total short-term liabilities.
1 Short-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.