Bosnia’s central bank gross foreign reserves rose 9.8% y/y to BAM 6.5bn (EUR 3.3bn) at end-June, cooling from a 11.7% rise the month before, due to lower investments in foreign securities, central bank data showed. The reading accounted for 23% of the forecast GDP, up from 22% a year earlier. In monthly terms, gross foreign reserves inched up 1.0% at end-June after edging up 0.3% at end-May.
Investment in foreign securities grew 2.0% m/m to BAM 4.4bn at end-June slowing from a 15% monthly increase the month before. The annual growth, thus, weakened to 65.3% from 74.5% in May.
The share of investment in foreign securities in the total c-bank FX reserves increased significantly over the past year, reaching 68% at end-June as compared to 45% a year earlier.
Deposits at non-resident banks continued retreating at end-June, shrinking 2.1% m/m and 41.3% y/y to BAM 1.7bn. Such deposits have been falling in annual terms since May 2012. Their share in total c-bank FX reserves dropped to 27% at end-June from 50% a year earlier.
End-June’s net foreign reserves held by the central bank also grew 9.8% y/y and 1.0% m/m to BAM 6.46bn.
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