Statement on BSP's Gold Sales for GIR Management

Tue Sep 24 2024

The Bangko Sentral ng Pilipinas (BSP) sold gold during the first half of the year as part of its active management strategy of the country’s gold reserves, which form part of the country’s Gross International Reserves (GIR).

The BSP took advantage of the higher prices of gold in the market and generated additional income without compromising the primary objectives for holding gold, which are insurance and safety.

Amid the gold sales, the country’s GIR has remained robust, with the end-August 2024 figure rising to US$107.9 billion from US$103.8 billion as of end-December 2023.

The GIR level provides adequate external liquidity buffer and is equivalent to 7.8 months’ worth of imports of goods and payments of services and primary income.

It also represents about 6.0 times the country’s short-term external debt based on original maturity and 3.8 times based on residual maturity.

Source: https://www.bsp.gov.ph