Consolidated financial statement of the Eurosystem as at 29 June 2007

4 July 2007

Items not related to monetary policy operations

In the week ending 29 June 2007, the decrease of EUR 7.1 billion in gold and gold receivables (asset item 1) mainly reflected quarterly revaluation adjustments, as well as sales of gold by three Eurosystem central banks (consistent with the Central Bank Gold Agreement of 27 September 2004).

The net position of the Eurosystem in foreign currency (asset items 2 and 3 minus liability items 7, 8 and 9) fell by EUR 1.6 billion to EUR 144.3 billion. The change was due mainly to the effects of the quarterly revaluation of assets and liabilities, while customer and portfolio transactions carried out by Eurosystem central banks in the period under review resulted in an increase of EUR 0.6 billion.

The holdings by the Eurosystem of marketable securities of euro area residents denominated in euro (asset item 7) decreased by EUR 0.2 billion to EUR 93.7 billion, in large part due to quarterly revaluation adjustments. Banknotes in circulation (liability item 1) rose by EUR 5.2 billion to EUR 633.1 billion. Liabilities to general government (liability item 5.1) increased by EUR 19.8 billion to EUR 69.7 billion.

Items related to monetary policy operations

The Eurosystem’s net lending to credit institutions (asset item 5 minus liability items 2.2, 2.3, 2.4, 2.5 and 4) increased by EUR 25.5 billion to EUR 463.5 billion. On Wednesday, 27 June 2007, a main refinancing operation of EUR 288 billion matured and a new one of EUR 313.5 billion was settled. On Thursday, 28 June 2007, a longer-term refinancing operation of EUR 50 billion matured and a new one of EUR 50 billion was settled.

Recourse to both the marginal lending facility (asset item 5.5) and the deposit facility (liability item 2.2) was EUR 1.1 billion (compared with EUR 0.1 billion in the previous week).

Current accounts of euro area credit institutions

As a result of all transactions, the current account position of credit institutions with the Eurosystem (liability item 2.1) decreased by EUR 7.4 billion to EUR 182.1 billion.

Quarter-end revaluation of the Eurosystem’s assets and liabilities

In line with the Eurosystem’s harmonised accounting rules, gold, foreign exchange, securities holdings and financial instruments of the Eurosystem are revalued at market rates and prices as at the end of each quarter. The net impact of the revaluation on each balance sheet item as at 29 June 2007 is shown in the additional column “ Difference compared with last week due to quarter-end adjustments”. The gold price and the principal exchange rates used for the revaluation of balances were as follows:

Gold: EUR 480.193 per fine oz.

USD: 1.3505 per EUR

JPY: 166.63 per EUR

Special drawing rights: EUR 1.1224 per SDR

Assets (EUR millions) Balance Difference compared with last week due to
i)transactions
ii)quarter-end adjustments
Totals/sub-totals may not add up, due to rounding
i) ii)
1 Gold and gold receivables 172,756 −631 −6,479
2 Claims on non-euro area residents denominated in foreign currency 141,647 344 −2,111
2.1 Receivables from the IMF 9,879 −4 −137
2.2 Balances with banks and security investments, external loans and other external assets 131,768 348 −1,974
3 Claims on euro area residents denominated in foreign currency 24,433 −1,335 −247
4 Claims on non-euro area residents denominated in euro 16,713 894 −25
4.1 Balances with banks, security investments and loans 16,713 894 −25
4.2 Claims arising from the credit facility under ERM II 0 0 0
5 Lending to euro area credit institutions related to monetary policy operations denominated in euro 464,608 26,484 0
5.1 Main refinancing operations 313,499 25,497 0
5.2 Longer-term refinancing operations 150,002 −1 0
5.3 Fine-tuning reverse operations 0 0 0
5.4 Structural reverse operations 0 0 0
5.5 Marginal lending facility 1,104 985 0
5.6 Credits related to margin calls 3 3 0
6 Other claims on euro area credit institutions denominated in euro 13,759 −671 0
7 Securities of euro area residents denominated in euro 93,704 305 −530
8 General government debt denominated in euro 37,147 −470 −26
9 Other assets 243,686 1,629 4,650
Total assets 1,208,453 26,546 −4,765
Liabilities (EUR millions) Balance Difference compared with last week due to
i)transactions
ii)quarter-end adjustments
Totals/sub-totals may not add up, due to rounding
i) ii)
1 Banknotes in circulation 633,076 5,174 0
2 Liabilities to euro area credit institutions related to monetary policy operations denominated in euro 183,186 −6,369 0
2.1 Current accounts (covering the minimum reserve system) 182,086 −7,382 0
2.2 Deposit facility 1,100 1,014 0
2.3 Fixed-term deposits 0 0 0
2.4 Fine-tuning reverse operations 0 0 0
2.5 Deposits related to margin calls 0 −1 0
3 Other liabilities to euro area credit institutions denominated in euro 226 25 0
4 Debt certificates issued 0 0 0
5 Liabilities to other euro area residents denominated in euro 77,881 19,389 0
5.1 General government 69,701 19,798 0
5.2 Other liabilities 8,180 −409 0
6 Liabilities to non-euro area residents denominated in euro 28,116 8,580 0
7 Liabilities to euro area residents denominated in foreign currency 178 −10 −2
8 Liabilities to non-euro area residents denominated in foreign currency 16,059 −1,540 −157
8.1 Deposits, balances and other liabilities 16,059 −1,540 −157
8.2 Liabilities arising from the credit facility under ERM II 0 0 0
9 Counterpart of special drawing rights allocated by the IMF 5,517 0 −61
10 Other liabilities 78,893 1,318 3,966
11 Revaluation accounts 117,010 0 −8,511
12 Capital and reserves 68,311 −21 0
Total liabilities 1,208,453 26,546 −4,765

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