Consolidated financial statement of the Eurosystem as at 29 June 2012

Items not related to monetary policy operations

In the week ending 29 June 2012 the increase of EUR 1.1 billion in gold and gold receivables (asset item 1) reflected quarterly revaluation adjustments, as well as the sale of gold by one Eurosystem central bank and the sale 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) increased by EUR 13.5 billion to EUR 243 billion. This change was due to the effects of the quarterly revaluation of assets and liabilities, the customer and portfolio transactions carried out by Eurosystem central banks during the period under review and US dollar liquidity-providing operations (see below).

US dollar liquidity operations

The liquidity-providing transactions were conducted by the Eurosystem in connection with the temporary reciprocal currency arrangement (swap line) that the European Central Bank has with the Federal Reserve System.

The holdings by the Eurosystem of marketable securities other than those held for monetary policy purposes (asset item 7.2) decreased by EUR 0.8 billion to EUR 321.3 billion. Banknotes in circulation (liability item 1) rose by EUR 3.4 billion to EUR 893.7 billion. Liabilities to general government (liability item 5.1) decreased by EUR 4.3 billion to EUR 146.3 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 18.5 billion to EUR 272 billion. On Wednesday, 27 June 2012, a main refinancing operation of EUR 167.3 billion matured and a new one of EUR 180.4 billion was settled. On the same day, fixed-term deposits in an amount of EUR 211 billion matured and new deposits in the same amount were collected. During the week a longer-term refinancing operation of EUR 25.1 billion matured and a new one of EUR 26.3 billion was settled, while EUR 7 billion was repaid before maturity.

Recourse to the marginal lending facility (asset item 5.5) was EUR 0.7 billion (compared with EUR 1.5 billion in the previous week), while recourse to the deposit facility (liability item 2.2) was EUR 772.9 billion (compared with EUR 775.3 billion in the preceding week).

The holdings by the Eurosystem of securities held for monetary policy purposes (asset item 7.1) increased by EUR 0.7 billion to EUR 281 billion, owing mainly to quarter-end adjustments as well as settled purchases under the second covered bond purchase programme. Therefore, in the week ending 29 June 2012 the value of accumulated purchases under the Securities Markets Programme amounted to EUR 211.3 billion, while those of the portfolios held under the first and second covered bond purchase programmes totalled EUR 56.1 billion and EUR 13.8 billion respectively. All three portfolios are accounted for on a held-to-maturity basis.

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) increased by EUR 19.6 billion to EUR 116.7 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 2012 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 1,246.624 per fine oz.

USD: 1.2590 per EUR

JPY: 100.13 per EUR

Special drawing rights: EUR 1.2056 per SDR