KUCHING: Malaysia’s international reserves remain robust and fully usable, according to the latest detailed breakdown released by the Central Bank of Malaysia (BNM) for November 2024.
In accordance with the International Monetary Fund (IMF) Special Data Dissemination Standard (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, as well as the expected and potential future inflows and outflows of foreign exchange for the federal government and Bank Negara Malaysia over the next 12-month period.
According to a statement by BNM, as of the end of November 2024, official reserve assets stood at USD118.3 million, with additional foreign currency assets amounting to USD255.7 million.
“For the next 12 months, the predetermined short-term outflows of foreign currency loans, securities, and deposits — including, among others, scheduled repayments of external borrowings by the government and the maturity of foreign currency Bank Negara Interbank Bills — amounted to USD14,029.3 million.
“The net short forward positions amounted to USD27,747.2 million as of end-November 2024, reflecting the management of ringgit liquidity in the money market.
“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. Projected foreign currency inflows amount to USD2,544.8 million over the next 12 months,” it said.
It further stated that the only contingent short-term net drain on foreign currency assets is government guarantees of foreign currency debt due within one year, amounting to USD399.8 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, or other financial institutions. Bank Negara Malaysia also does not engage in foreign currency options vis-à-vis the ringgit.
“Therefore, overall, the detailed breakdown of international reserves under the IMF SDDS format indicates that, as of end-November 2024, Malaysia’s international reserves remain usable,” it said.
