Manila—(PHStocks)—Preliminary data showed that the country’s gross international reserves (GIR) level rose to US$82.07 billion as of end-May 2017 compared to the end-April 2017 GIR level of $82.02 billion, Bangko Sentral ng Pilipinas (BSP) Governor Amando M. Tetangco, Jr. announced. This level could adequately cover 9.1 months’ worth of imports of goods and payments of services and primary income. It is also equivalent to 5.3 times the country’s short-term external debt based on original maturity and 3.7 times based on residual maturity.
The build-up in reserves was due mainly to inflows arising from the net foreign currency deposits by the National Government (NG), income from the BSP’s investments abroad, and revaluation adjustments on the BSP’s gold holdings resulting from the increase in the price of gold in the international market. However, these were partially offset by the BSP’s foreign exchange operations and payments made by the NG for its maturing foreign exchange obligations.
Net international reserves (NIR), which refer to the difference between the BSP’s GIR and total short-term liabilities, increased by US$0.05 billion to US$82.05 billion as of end-May 2017, compared to the end-April 2017 NIR of US$82 billion.