NBS: FX reserves hit all-time high at end-September

BELGRADE - National Bank of Serbia (NBS) gross FX reserves stood at 28,279.7 mln euros at end-September - their highest end-of-month level since monitoring began in 2000 - and were up by 54.7 mln euros relative to the month before.

The reserves covered 183.0 pct of money supply M1 and 7.3 months’ worth of the country’s imports of goods and services, which is more than twice the level prescribed by the adequacy standard, the NBS said in a statement.

"Net FX reserves (gross FX reserves less banks’ FX balances on account of required reserves, liabilities to the IMF under the arrangement, and liabilities on other grounds) also came at a record high of 24,038.1 mln euros, having increased by 53.8 mln euros from the month before.

A total of 183.1 mln euros flowed into FX reserves in September, most of which originated from banks’ allocation of FX reserves, FX reserve management, grants and other sources.

The outflows from FX reserves were recorded on account of the government’s net debt repayment in respect of FX loans and payment of FX liabilities (143.8 mln euros), and NBS interventions in the IFEM and other grounds (146.0 mln euros)," the central bank said.

"FX reserves were also propped up by the positive net effect of market factors worth 161.4 mln euros, mainly reflecting the rising dollar price of gold by around 4.6 pct, while the dollar’s weakening against the euro by around 0.8 pct in the international market worked in the opposite direction," it also said.