Foreign exchange reserves must be controlled to meet the need for international transactions. They are needed to finance imports and pay external debts.Jakarta (ANTARA News) - Indonesia`s foreign exchange reserves increased US$2.47 billion from US$104.80 billion in March 2013 to US$107.27 billion in April this year, Bank Indonesia said in a report on its website here on Wednesday.
The Bank Indonesia (BI/the central bank) said that the country`s foreign exchange reserves were calculated using the International Reserve and Foreign Currency Liquidity (IRFCL) concept based on current prices with Official Reserve Asset (ORA) format.
The ORFCL concept only covers liquid assets and its calculation is using exchange rate which is effective at the end of the report period.
The BI monetary report also said that the amount of primary money on April 30, 2013 was Rp666.12 trillion. Earlier, the amount of primary money on March 28, 2013 was noted at Rp664.94 trillion.
The amount consisted of banknotes and coins in circulation amounting to Rp392.22 trillion. On March 28, 2013, the amount of banknotes and coins in circulation was Rp394.82 trillion.
It was also earlier mentioned that the balance of the demand deposits in the central bank per as April 30, 2013 reached Rp234.06 trillion. Earlier, per March 28, 2013, the balance reached Rp230.86 trillion.
Foreign exchange reserves must be controlled to meet the need for international transactions. They are needed to finance imports and pay external debts.
In the meantime, Indonesia`s foreign exchange reserves which reached US$104.80 billion in March 28, 2013, were down US$0.38 billion from US$105.18 billion in the month ended February 28, 2013, the Bank Indonesia.
The foreign exchange reserves were also calculated using the International Reserve and Foreign Currency Liquidity (IRFCL) concept based on the current prices with an official reserve asset (ORA) format.
The report said the amount of base money as per March 28, 2013 reached Rp664.94 trillion compared to Rp655.49 trillion in the month ended February 28, 2013.
The figure included banknotes and coins in circulation amounting to Rp394.82 trillion, up from Rp387.68 trillion a month earlier.
The report also said bank giro balance in Bank Indonesia as of March 28, 2013 stood at Rp230.86 trillion compared to Rp229.28 trillion a month ago.
Foreign exchange reserves are a net position of the government`s and foreign exchange banks` overseas assets that must be maintained to finance international transactions.(*)
Editor: Heru Purwanto
Copyright © ANTARA 2013
