The reserves are needed to be maintained to cover international transaction, finance imports and repay foreign debts.Jakarta (ANTARA News) - Indonesia`s foreign exchange reserves reached US$110.17 billion by the end of September or US$1.18 billion higher than a month earlier, Bank Indonesia said.
The position of the country`s foreign exchange reserves is calculated with the concept of International Reserve and Foreign Currency Liquidity (IRFCL) based on current prices with the format of official reserve asset (ORA), the central bank said in a report on Monday.
The reserves are needed to be maintained to cover international transaction, finance imports and repay foreign debts, the report said.
Management of foreign exchange reserves are made through various ways - selling, buying or placing foreign exchanges , gold and securities in cash or in terms .
As from July 2012, Bank Indonesia has changed its concept of recording foreign exchange reserves.
Based on the new concept, figures of foreign exchange reserves reported are only ones with the concept of IRFCL, which is an international reporting standard.
Under the IRFCL concept, only assets categorized as liquid are taken into account as components of reserves with value based on current exchange rate.
By the end of August, the country`s foreign exchange reserves grew US$2.43 billion to US$108.99 billion from US$106.56 billion by the end of July.
The Bank Indonesia`s report said the country`s primary money totaled Rp638.87 trillion including Rp219.87 trillion in giro reserves held by the central bank by Sept. 28 .
The total, which included money in bank notes and coins in circulation and giro reserves in the central bank, fell from Rp657.96 trillion by the end of August.
By the end of July 2012, the primary money totaled Rp634.99 trillion including giro reserves held by the central bank at Rp215.79 trillion. (*)
Editor: Heru Purwanto
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