Malaysia's official reserve assets at US$105.23 bln as at end-October - BNM

In a statement today, Bank Negara Malaysia (BNM) said other foreign currency assets stood at US$5.8 million.

The central bank said 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 BNM over the next 12-month period.

"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 US$13.52 billion.

"The short forward positions amounted to US$24.37 billion as at end-October, reflecting the management of ringgit liquidity in the money market," it said.

BNM said 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.

Meanwhile, the projected foreign currency inflows amount to US$1.94 billion in the next 12 months.

BNM said the only contingent short-term net drain on foreign currency assets is government guarantees of foreign currency debt due within one year, amounting to US$399.4 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.

"BNM also does not engage in foreign currency options vis-a-vis ringgit," it added.

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