Poland’s international reserves contracted 0.3% m/m to PLN402.3bn (€95.8bn) in November, data released by the National Bank of Poland (NBP) showed on December 7. In annual terms, the Polish forex reserves fell 12.8% in the eleventh month.
The monthly fall in November came on the back of reductions across all main segments. The monetary gold reserves fell 2.1% m/m to PLN15.1bn. SDRs fell 1.1% on the month to PLN1.51bn. Poland’s reserve position with the IMF fell 6.8% m/m to PLN1.9bn. There was also a fall of 0.2% in the foreign exchange reserves segment. In euro and US dollars terms, the reserves grew m/m in November due to exchange fluctuations.
The NBP invests foreign exchange reserves in standard instruments used by central banks. The majority of investments are in government securities, although some volumes are invested in securities issued by international institutions and government agencies. A small part of the foreign exchange reserves is held as deposits at highly rated banks abroad or in gold.