The country’s gross international reserves (GIR) level, based on preliminary data, settled at US$98.7 billion as of end-September 2023 from the end-August 2023 level of US$99.6 billion. [1]The latest GIR level represents a more than adequate external liquidity buffer equivalent to 7.3 months’ worth of imports of goods and payments of services and primary income. [2]Moreover, it is also about 5.7 times the country’s short-term external debt based on original maturity and 3.6 times based on residual maturity. Similarly, the net international reserves, which refers to the difference between the BSP’s reserve assets (GIR) and reserve liabilities (short-term foreign debt and credit and loans from the International Monetary Fund (IMF)), decreased by US$0.8 billion to US$98.7 billion as of end-September 2023 from the end-August 2023 level of US$99.5 billion. [1] The BSP’s reserve assets consist of foreign investments, gold, foreign exchange, reserve position in the IMF, and special drawing rights.

Source: The Guardian October 08, 2023 21:00 UTC