Consolidated financial statement of the Eurosystem as at 18 January 2008

In the week ending 18 January 2008, the decrease of EUR 41 million in gold and gold receivables (asset item 1) reflected the sale of gold by one Eurosystem central bank (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) decreased by EUR 1.4 billion to EUR 152.8 billion on account of customer and portfolio transactions. One US dollar liquidity-providing operation matured and, as announced by the ECB in a press release dated 10 January 2008, a new operation of USD 10 billion was settled. These operations were conducted by the Eurosystem in connection with the temporary reciprocal currency arrangement (swap line) between the ECB and the Federal Reserve System.

The holdings by the Eurosystem of marketable securities of euro area residents denominated in euro (asset item 7) decreased by EUR 0.6 billion to EUR 96.7 billion. Banknotes in circulation (liability item 1) fell by EUR 6.2 billion to EUR 653.2 billion. Liabilities to general government (liability item 5.1) decreased by EUR 8.3 billion to EUR 38.8 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 39.3 billion to EUR 458.8 billion. On Wednesday, 16 January 2008, a main refinancing operation of EUR 151.5 billion matured and a new one of EUR 190.5 billion was settled.

Recourse to the marginal lending facility (asset item 5.5) was virtually nil (compared with EUR 0.2 billion in the preceding week), while recourse to the deposit facility (liability item 2.2) was EUR 0.2 billion (compared with EUR 0.7 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 50.2 billion to EUR 230.8 billion.