MANILA - The Philippines's gross international reserves (GIR) level slightly declined to $107.16 billion in end-September compared to the $107.96 billion in end-August, the central bank said Wednesday.
The amount represents a more than adequate external liquidity buffer equivalent to 10.8 months' worth of imports of goods and payments of services and primary income, the Bangko Sentral ng Pilipinas said in a statement.
The level is also about 7.6 times the country's short-term external debt based on original maturity and 5.2 times based on residual maturity, it added.
"The month-on-month decrease in the GIR level was attributed mainly to the debt service payment of the National Government’s (NG) foreign currency debt obligations and downward adjustment in the value of the BSP’s gold holdings due to the decrease in the price of gold in the international market," it said.
Net international reserves (NIR), which refers to the difference between the BSP's GIR and total short-term liabilities, also decreased to $107.15 billion as of end-September compared to $107.96 billion the previous month, the BSP said.
Despite the accelerated borrowings to fund the response and recovery efforts due to the COVID-19 pandemic, economic managers have said the country's macroeconomic fundamentals remains strong.