Detailed Disclosure of International Reserves as at end-May 2012

In accordance with the IMF SDDS format, 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 Bank Negara Malaysia over the next 12-month period.

The detailed breakdown of international reserves based on the SDDS format is shown in Tables I, II, III and IV. As shown in Table I, official reserve assets amounted to USD135,958.3 million, while other foreign currency assets amounted to USD11,186.1 million as at end-May 2012. As shown in Table II, for the next 12 months, the predetermined short-term outflows of foreign currency loans would amount to USD340 million arising from scheduled repayments of external borrowings by the Government. 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 amounting to USD3,496.5 million in the next 12 months. Long forward positions and short forward positions amounted to USD8,960 million and USD15.9 million respectively as at end-May 2012. As shown in Table III, the only contingent short-term net drain on foreign currency assets are Government guarantees of foreign debt due within one year, amounting to USD112.3 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. Bank Negara Malaysia also does not engage in foreign currency options vis-a-vis ringgit.

Overall, the above detailed breakdown of international reserves under the IMF SDDS format indicates that as at end-May 2012, Malaysia's reserves remain usable and unencumbered.

Source: Bank Negara Malaysia