The country’s gross international reserves (GIR) stood at $16.171 billion as of end-August 2003, 0.40 percent higher compared to the end-July level of $16.107 billion. The current GIR level was adequate to cover 4.5 months of imports of goods and payments of services and income. Alternatively, the end-August GIR level was equivalent to 2.5 times the country’s short-term debt based on original maturity and 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 increase in reserves during the period was due mainly to deposit by the National Government of its loan proceeds ($175 million from issuance of Zero Coupon Treasury Bills). This inflow was partly offset, however, by foreign exchange requirements of the BSP and the National Government.
The BSP’s net international reserves (BSP-NIR) level as of end-August 2003, inclusive of revaluation of reserve assets and reserve-related liabilities, decreased to $12.609 billion from $12.780 billion a month ago.