Bank Negara Publishes Detailed Breakdown Of International Reserves As Of End March

Bank Negara has published a detailed breakdown of International Reserves as at end-March 2022, this is in accordance with the International Monetary Fund (IMF)’s Special Data Dissemination Standard (SDDS) format.

The detailed breakdown of international reserves provides forward-looking information on the size, composition, and usability of reserves and other foreign currency assets, and the expected and potential future inflows and outflows of foreign exchange of the Federal Government and Bank Negara Malaysia over the next 12-month period.

The detailed breakdown of international reserves is based on the SDDS format.

  • The official reserve assets amounted to USD115,591.3 million, while other foreign currency assets amounted to USD33.6 million as at end-March 2022.
  • For the next 12 months, the pre-determined short-term outflows of foreign currency loans, securities, and deposits, which include among others, scheduled repayment of external borrowings by the Government and the maturity of foreign currency Bank Negara Interbank Bills, amounted to USD5,703.8 million. The short forward positions amounted to USD8,988.9 million while long forward positions amounted to USD30 million as of end-March 2022, 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. Projected foreign currency inflows amount to USD2,286.7 million in the next 12 months.
  • The the only contingent short-term net drain on foreign currency assets are Government guarantees of foreign currency debt due within one year, amounting to USD401.6 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. Bank Negara Malaysia also does not engage in foreign currency options vis-à-vis ringgit.

Overall, the detailed breakdown of international reserves under the IMF SDDS format indicates that as at end-March 2022, Malaysia’s international reserves remain usable.

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