The country’s gross international reserves (GIR) stood at $16.038 billion as of end-May 2003, lower compared to the end-April level of $16.206 billion. The end-May GIR level was adequate to cover 4.5 months of imports of goods and payments of services and income. This was also equivalent to 2.6 times the country’s short-term debt based on original maturity or alternatively 1.3 times based on residual maturity. Short-term debt based on residual maturity refers to outstanding short-term external debt on original maturity basis plus principal payments on medium- and long-term loans of the public and private sectors falling due within the next twelve (12) months.
The slight decline in reserves during the period was due mainly to the repayments of the debt service requirements of the National Government and the BSP. The revaluation of gold holdings, however, moderated the decline in reserves.
The BSP’s net international reserves (BSP-NIR) level as of end-May 2003, inclusive of revaluation of reserve assets and reserve-related liabilities, was higher at $12.451 billion compared to $12.297 billion a month-ago.