The Department of Finance announced today that Canada’s official international reserves decreased by an amount equivalent to US$719 million during March to US$76,450 million.

Details on the level and composition of Canada’s reserves as of March 31, 2014, 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

 Details on Deposits

 Details of Net Change

 Currency Composition of Deposits and Securities

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

 Additional Information (Nominal Value)

NOTES:

1. There were no sales of gold settled in March. On March 31, gold holdings stood at 95,895 ounces. The valuation is based on the March 31, 2014, London p.m. fix of US$1,291.75 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 March, Canada bills decreased by US$311.5 million to a level of outstanding bills of US$2,021.4 million; a total of US$600 million of cross-currency swaps of domestic obligations was raised while US$873.8 million in swaps matured; a total of US$125 million in medium-term notes was issued; and an equivalent of US$13.9 million in foreign exchange swaps was transacted.
3. “Return on investments” comprises US$104 million of interest earned on investments and a US$204-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 March, 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.

 Official International Reserves (10-Year Synopsis)

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