Consolidated financial statement of the Eurosystem as at 28 September 2007

In the week ending 28 September 2007, the increase of EUR 14.4 billion in gold and gold receivables (asset item 1) mainly reflected quarterly revaluation adjustments, as well as the sale of gold by one Eurosystem central bank (consistent with the Central Bank Gold Agreement of 27 September 2004) and a net purchase of gold coin by another Eurosystem central bank.

The net position of the Eurosystem in foreign currency (asset items 2 and 3 minus liability items 7, 8 and 9) fell by EUR 3.8 billion to EUR 141.8 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 a decrease of EUR 0.7 billion.

The holdings by the Eurosystem of marketable securities of euro area residents denominated in euro (asset item 7) increased by EUR 0.9 billion to EUR 95.4 billion, in large part owing to quarterly revaluation adjustments. Banknotes in circulation (liability item 1) rose by EUR 2.3 billion to EUR 637.3 billion. Liabilities to general government (liability item 5.1) decreased by EUR 2.5 billion to EUR 66.1 billion.

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 29.6 billion to EUR 449.7 billion. On Wednesday, 26 September 2007, a main refinancing operation of EUR 155 billion matured and a new one of EUR 190 billion was settled. On Thursday, 27 September 2007, a longer-term refinancing operation of EUR 50 billion matured and a new one of EUR 50 billion was settled.

Recourse to the marginal lending facility (asset item 5.5) was EUR 0.2 billion (compared with EUR 0.6 billion in the previous week), while recourse to the deposit facility (liability item 2.2) was EUR 5.5 billion (compared with EUR 0.4 billion in the preceding week).

As a result of all transactions, the current account position of credit institutions with the Eurosystem (liability item 2.1) increased by EUR 32 billion to EUR 186.7 billion.

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 28 September 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 520.312 per fine oz.

USD: 1.4179 per EUR

JPY: 163.55 per EUR

Special drawing rights: EUR 1.0978 per SDR