Release at 8:15 a.m. EST
Ottawa, June 4, 2008
2008-042

Archived - Official International Reserves

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- Monthly Official International Reserves Results Archive -


The Department of Finance announced today that Canada’s official international reserves decreased by an amount equivalent to US$14 million during May to US$43,588 million.

Details on the level and composition of Canada’s reserves as of May 30, 2008, as well as the major factors underlying the change in reserves, are provided below. All figures are in millions of US dollars unless otherwise noted.


Foreign Currency Reserves
Securities

37,697

Deposits

 3,985

Total securities and deposits (liquid reserves)

41,682

Gold1

97

Special drawing rights (SDRs)

1,042

Reserve position in the IMF

 767

Total:  May 30, 2008

43,588

April 30, 2008

43,602

Net change

-14


Details on Deposits
Other central banks/Bank for International Settlements

1,470

Banks headquartered in Canada

0

   Of which: located abroad

0

Banks headquartered abroad

2,515

   Of which: located in Canada

0

     

Total

3,985


Details of Net Change
Reserves management operations2

389

Gains and losses on gold sales

0

Net investment gains and losses
   Return on investments3

-228

   Foreign currency debt charges

-91

   Revaluation effects4

-84

Net government operations5

0

Official intervention

0

Other transactions

    0

Net change

-14


Currency Composition of Deposits and Securities
US dollars

19,919

Euro

21,203

Yen

   560

Total

41,682


Predetermined Short-Term Drains on Foreign Currency Reserves (Nominal Value)

0-1
month

1-3
months

3-12
months

Total

Principal

-1,610

-4,018

-5,954

-11,581

Interest

-594

-204

-696

-1,494

Aggregate short forward positions in foreign currencies vis-à-vis Canadian dollar

0

0

0

0

Aggregate long forward positions in foreign currencies vis-à-vis Canadian dollar

         0

         0

         0

         0

Total net drains

-2,203

-4,221

-6,650

-13,074

Additional Information (Nominal Value)
Undrawn, unconditional credit lines with banks headquartered outside Canada

0

Securities lent under repurchase agreements7

-2,605

Securities held under repurchase agreements8

1,751

Financial derivatives assets (net, marked to market)
   Forwards

0

   Swaps

3,633


Notes:

1. There were no sales of gold settled in May. On May 30, gold holdings stood at 0.1 million ounces. The valuation is based on the May 30, 2008, London p.m. fix of US$886 per ounce.

2. Net change in securities and deposits resulting from foreign currency funding activities of the Government. (Issuance of foreign currency liabilities used to acquire assets increases reserves, while maturities decrease reserves). During May, Canada bills decreased by US$465 million to a level of outstanding bills of US$1,400 million. A total of US$854 million of cross-currency swaps of domestic obligations were raised.

3. "Return on investments" comprises US$112 million of interest earned on investments and a US$340-million decrease in the market value of securities resulting from changes in interest rates.

4. "Revaluation effects" reflect changes in the market value of reserve assets resulting from movements in exchange rates. In May, the revaluation effect was mainly due to the depreciation of the euro.

5. "Net government operations" are the net purchases of foreign currency for government foreign exchange requirements and for additions to reserves.

6. "Foreign currency securities" include maturities of foreign currency debt, cross-currency swap payments and an estimate of interest payments on foreign currency liabilities.

7. "Securities lent under repurchase agreements" are included in total reserves. Collateral provided in securities-lending transactions is not included in total reserves.

8. Cash invested under repurchase agreements is included in total reserves. Collateral provided in securities-lending transactions is not included in total reserves.

Future Release Dates

The next release is July 4, 2008 (covering the period June 2008).

A list of upcoming release dates is posted on the Department of Finance website located at: www.fin.gc.ca/invest_x/releaseDates_e.asp.

___________________________________
For further information, media may contact:

Clifton Lee-Sing
Financial Markets Division 
Department of Finance
613-943-1944

David Gamble
Media Relations
Department of Finance
613-996-8080 

For further information on the Exchange Fund Account, please consult the Report on the Management of Canada’s Official International Reserves—April 1, 2006–March 31, 2007, located at: www.fin.gc.ca/toc/2007/oir07_-eng.asp.

If you would like to receive automatic e-mail notification of all news releases, please visit the Department of Finance website at http://www.fin.gc.ca/scripts/register-eng.asp.


Official International Reserves

(10-Year Synopsis)


 

US dollars

Other currencies

Gold

SDRs

IMF position

Total


 

(millions of US dollars)

May 30, 2008

19,919

21,763

97

  1,042

767

43,588

April 30, 2008

19,892

21,912

95

1,044

659

43,602

March 31, 2008

18,896

22,329

102

1,062

668

   43,057

February 29, 2008

20,013

21,805

106

1,035

654

43,613

January 31, 2008

19,804

20,662

101

1,026

668

42,261

December 31, 2007

19,257

20,057

91

1,015

661

41,081

November 30, 2007

18,914

20,146

85

1,022

685

40,852

October 31, 2007

19,218

19,806

86

1,010

677

40,797

September 30, 2007

19,452

19,777

81

1,001

671

40,982

August 31, 2007

19,989

18,594

73

985

660

40,301

July 31, 2007

20,067

18,494

73

984

685

40,303

June 30, 2007

19,487

18,186

71

974

695

39,413

May 31, 2007

20,088

18,271

72

972

693

40,096


Dec. 31, 2007

19,257

20,057

91

1,015

661

41,081

Dec. 31, 2006

15,608

17,590

69

963

833

35,063

Dec. 31, 2005

16,842

13,822

56

897

1,401

33,018

Dec. 31, 2004

14,426

15,740

48

925

3,327

34,466

Dec. 31, 2003

15,575

15,961

45

838

3,848

36,267

Dec. 31, 2002

17,946

14,739

205

712

3,567

37,169

Dec. 31, 2001

19,748

10,736

291

614

2,859

34,248

Dec. 31, 2000

21,692

7,327

323

574

2,508

32,424

Dec. 31, 1999

18,838

5,594

524

526

3,164

28,646

Dec. 31, 1998

15,907

4,004

122

1,097

2,297

23,427