Preliminary data showed that the country’s gross international reserves (GIR) stood at US$83.8 billion as of end-February 2013, lower by US$1.5 billion than the end-January 2013 GIR of US$85.3 billion, Bangko Sentral ng Pilipinas (BSP) Governor Amando M. Tetangco, Jr. announced today.1 At this level, reserves remain adequate to cover 12 months worth of imports of goods and payments of services and income. It was also equivalent to 10.5 times the country’s short-term external debt based on original maturity and 6.6 times based on residual maturity.2
The decline in the reserves level was due mainly to payments for maturing foreign exchange obligations of the National Government (NG) and net foreign currency withdrawals by the Power Sector Assets and Liabilities Management Corporation (PSALM). Revaluation adjustments on the BSP’s foreign currency-denominated reserves and gold holdings also contributed to the lower reserves level. These outflows were partially offset, however, by inflows from the foreign exchange operations and income from investments abroad of the BSP and foreign currency deposits by the NG.
Net international reserves (NIR), which include revaluation of reserve assets, decreased by US$1.5 billion to reach US$83.8 billion as of end-February 2013, compared to the end-January 2013 NIR of US$85.3 billion. NIR refers to the difference between the BSP’s GIR and total short-term liabilities.
1 The final data on GIR are released to the public every 19th day of the month in the Statistics section of the BSP’s website under the Special Data Dissemination Standards (SDDS). If the 19th day of the month falls on a weekend or is a non-working holiday, the release date shall be the working day nearest to the 19th.
2 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.