Preliminary data showed that the country’s gross international reserves (GIR) rose to US$80.7 billion as of end-June 2014, Bangko Sentral ng Pilipinas (BSP) Governor Amando M. Tetangco, Jr. announced today.1 This level was higher by US$0.5 billion than the end-May 2014 GIR of US$80.2 billion. The GIR remains ample as it can cover 11 months’ worth of imports of goods and payments of services and income. It is also equivalent to 7.7 times the country’s short-term external debt based on original maturity and 5.7 times based on residual maturity.2
The increase in reserves was due mainly to the revaluation adjustments on the BSP’s gold holdings, net foreign currency deposits by the Treasurer of the Philippines (TOP), and income from the BSP’s investments abroad. These inflows were partially offset by payments for maturing foreign exchange obligations of the National Government (NG).
Net international reserves (NIR), which refer to the difference between the BSP’s GIR and total short-term liabilities, also increased to US$80.7 billion as of end-June 2014, compared to the end-May 2014 NIR of US$80.2 billion.
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.