Preliminary data showed that the country’s gross international reserves rose to $82.9 billion as of end-July 2013, higher by $1.7 billion than the end-June 2013 GIR of $81.3 billion, Bangko Sentral ng Pilipinas Governor Amando Tetangco, Jr. announced yesterday.
At this level, reserves can adequately cover 12 months worth of imports of goods and payments of services and income.
The GIR is also equivalent to 8.5 times the country’s short-term external debt based on original maturity and 5.8 times based on residual maturity.
The increase in reserves was due mainly to inflows from the foreign exchange operations of the BSP, revaluation gains on the bank’s gold holdings and foreign currency-denominated reserves, net foreign currency deposits by the Treasurer of the Philippines which included proceeds of a program loan from a multilateral institution, and income from investments abroad of the BSP.
These inflows were partially offset by the payments for maturing foreign exchange obligations of the national government.
Net international reserves, which refer to the difference between the BSP’s GIR and total short-term liabilities, also increased by $1.7 billion to reach $82.9 billion as of end-July 2013, compared to the end-June 2013 NIR of $81.3 billion.*PNA