Malaysia’s official reserves stand at US$104.4 bil

Bank Negara Malaysia says US$2.31 billion foreign currency inflows are expected in the next 12 months.

KUALA LUMPUR: Bank Negara Malaysia’s official reserves assets as at end-August stood at US$104.41 billion, in accordance with the International Monetary Fund’s Special Data Dissemination Standard format.

In a statement today, BNM said other foreign currency assets amounted to US$1.61 billion as at the end of last month.

“For the next 12 months, the predetermined short-term outflows of foreign currency loans, securities and deposits, which include scheduled repayment of external borrowings by the government and repayment arising from the maturity of foreign currency Bank Negara interbank bills, amount to US$8.72 billion,” it said.

The central bank said the short forward positions amounted to US$8.37 billion while long forward positions amounted to US$1.58 billion, reflecting the management of ringgit liquidity in the money market.

“In line with the practice adopted since April 2006, the data excludes projected foreign currency inflows arising from interest income and the drawdown of project loans,” it said.

BNM said projected foreign currency inflows amount to US$2.31 billion in the next 12 months, and the only contingent short-term net drain on foreign currency assets are government guarantees of foreign currency debt due within one year, amounting to US$277.1 million.

“There are no foreign currency loans with embedded options, no undrawn, unconditional credit lines provided by or to other central banks, international organisations, banks and other financial institutions,” it said.

“Bank Negara Malaysia also does not engage in foreign currency options vis-a-vis ringgit.”