The following table shows the Central Bank of Iceland's Balance Sheet as at the end of April 2004 with comparative figures for the end of March 2004 and end of December 2003.
The Central Bank's foreign reserves decreased in April by 1 b.kr. and amounted to 65.6 b.kr. at the end of the month (equivalent to 892 m. US dollars at the exchange rate at the end of the month).
Under a currency swap agreement made in January, the Central Bank purchased US dollars to the equivalent of 7.2 b.kr. from a market maker in the FX market (cf. Press release of February 5).
In April, the Central Bank also purchased currency in the domestic interbank market for 1.5 b.kr., which is consistent with the measures to strengthen its external position as described inter alia in the November 2003 issue of the Bank's Monetary Bulletin. Other changes in the foreign reserves in April are explained by Treasury loan movements.
The Icelandic króna weakened by 0.1% in April.
Central Bank claims on deposit money banks decreased by 5.4 b.kr. in April and amounted to 36.8 b.kr. at the end of the month. Claims on other financial institutions decreased by 0.1 b.kr. and stood at 4.8 b.kr. at the end of the month.
Market value of listed securities in the Bank's portfolio was 3.2 b.kr. at the end of April. The reduction in Treasury securities is explained by redemptions during the month.
Net claims on central government decreased by 13.7 b.kr. in April and the Treasury's net deposit at the end of the month stood at 29.4 b.kr.
Base money increased by 7.6 b.kr. during the month and amounted to 34 b.kr. at the end of April.
For further information, contact the Governors of the Central Bank of Iceland or Erla Árnadóttir, Chief Accountant, tel. (+354) 569-9600.
No. 10/2004
May 6, 2004