The country’s gross international reserves (GIR) stood at $15.876 billion as of end-October 2004, lower by 0.4 percent compared to last month’s level of $15.941 billion. The end-October GIR level was adequate to cover about 4.3 months of imports of goods and payments of services and income. Alternatively, this level was equivalent to 2.6 times the country’s short-term debt based on original maturity and 1.4 times based on residual maturity. Short-term debt based on residual maturity refers to outstanding short-term external debt on original maturity plus principal payments on medium- and long-term loans of the public and private sectors falling due within the next 12 months.
The decline in reserves was attributed mainly to the debt service requirements of the National Government (NG) and the BSP.
The BSP’s net international reserves (BSP-NIR) as of end-October 2004, inclusive of revaluation of reserve assets and reserve-related liabilities, climbed to $14.157 billion, higher by $120 million compared to the end-September 2004 level of $14.037 billion.