Philippines' gross international reserves at $106.55 billion in July: BSP

ABS-CBN News

Posted at Aug 13 2021 11:56 AM

MANILA— The Philippines's gross international reserves (GIR) level rose to $106.55 billion by the end of July, the Bangko Sentral ng Pilipinas said Friday.

The total is $0.79 billion higher compared to the $105.76 billion from the end of June, the BSP said in a statement. 

The GIR level is more than adequate external liquidity buffer equivalent to 12.1 months' worth of imports of goods and payments of services and primary income, the central bank said.

"The month-on-month increase in the GIR level reflected mainly the inflows from the National Government’s (NG) net foreign currency deposits with the BSP, which includes proceeds from its issuance of ROP Global Bonds, and upward adjustment in the value of the BSP’s gold holdings due to the increase in the price of gold in the international market," the BSP said.

However, these were partly offset by outflows from foreign currency debt payment and its foreign exchange operations, it said.

The country's hefty dollar reserves are among the "strong macroeconomic fundamentals" that helped the government weather the impact of the COVID-19 pandemic, economic managers earlier said.

The Philippine economy expanded by 11.8 percent in the second quarter, reflecting the low base effect in the previous quarters. 

BSP Gov. Benjamin Diokno earlier said the economy could still grow "around" the low end of the target of 6 to 7 percent this year. 

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