Philippine reserves climb to $105.9 billion in August 

The Philippines’ gross international reserves (GIR) rose slightly in August, supported by higher global gold prices and investment income from the Bangko Sentral ng Pilipinas (BSP).

Central bank data released Friday showed GIR at $105.9 billion at the end of August, up from $105.4 billion in July and matching the June level.

The BSP said reserves remain more than adequate to safeguard against external shocks. The latest level is sufficient to cover 7.2 months’ worth of imports of goods and payments of services and primary income, and is equivalent to 3.4 times the country’s short-term external debt based on residual maturity.

The central bank considers reserves adequate if they can finance at least three months of imports and service short-term foreign liabilities. “The GIR helps mitigate the impact of external shocks,” the BSP said.

Net international reserves, which represent the difference between GIR and reserve liabilities, likewise rose to $105.9 billion in August from $105.4 billion in July.

The GIR consists of the BSP’s foreign investments, gold holdings, foreign exchange, reserve position in the International Monetary Fund, and special drawing rights.