PH foreign reserves down to 15-month low in April

The Philippines’ gross international reserves (GIR) fell to a 15-month low in April to reflect the significant drop in foreign exchange holdings during the month, data released by the Bangko Sentral ng Pilipinas (BSP) showed.

The GIR — a measure of the ability to settle import payments and service foreign debt — stood at $104.127 billion in April, this compares with the $105.307 billion a year ago and marks the second straight month of decline after the $106.636 billion in March.

This is the lowest since in over a year since the GIR stood at $103.271 billion in January 2025.

Preliminary data from the BSP show that foreign exchange holdings dropped to $464.9 million in April from $1.746 billion in March, reflecting a 73.37% decline. Foreign investments also dropped to $79.198 billion from $80.087 billion.

A decline was also seen in gold reserves to $19.779 billion from $20.1766 billion.

The BSP said the latest GIR level still provides a “robust” external liquidity buffer equivalent to 6.9 months’ worth of imports of goods and payments of services and primary income, and covers 3.8 times the country’s short-term external debt based on residual maturity.

“By convention, GIR is considered adequate if it can finance at least three-months’ worth of the country’s imports of goods and payments of services and primary income,” it said.

“The latest GIR level ensures availability of foreign exchange to meet balance of payments financing needs, such as for payment of imports and debt service, in extreme conditions when there are no export earnings or foreign loans,” it added. —VAL, GMA News