Official International Reserves - May 3, 2018

- All 2018 Official International Reserves -

The Department of Finance Canada announced today that Canada's official international reserves decreased by an amount equivalent to US$1,074 million during April to US$82,221 million.

Details on the level and composition of Canada's reserves as of April 30, 2018, 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.

Note: Official international reserve figures for March 31, 2018 were revised due to a miscalculation in the valuation of SDR holdings.

NOTES:

1. 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 April, Canada bills decreased by US$33 million to a level of outstanding bills of US$1,977.8 million. An equivalent of US$650 million in cross-currency swaps was raised while US$804.3 million in cross-currency swaps matured during the month.
2. "Return on investments" comprises US$83 million of interest earned on investments and a US$285 million decrease in the market value of securities.
3. "Revaluation effects" reflect changes in the market value of reserve assets resulting from movements in exchange rates. In April, the revaluation effect was mainly due to the depreciation of the euro and the pound sterling.
4. "Net government operations" are the net purchases of foreign currency for government foreign exchange requirements and for additions to reserves.
5. "Foreign currency securities" include maturities of foreign currency debt, cross-currency swap payments and an estimate of interest payments on foreign currency liabilities.
6. "Securities lent under repurchase agreements" are included in total reserves. Collateral provided in securities lending transactions is not included in total reserves.
7. Cash invested under repurchase agreements is included in total reserves. Collateral provided in securities

The next release is June 5, 2018 (covering the period of May 2018).

For further information on the Exchange Fund Account, please consult the Report on the Management of Canada’s Official International Reserves—April 1, 2016 – March 31, 2017.