The principal changes in the Bank of Latvia's assets and liabilities on the 31 March 2010 balance sheet as compared to 28 February 2010 and the reasons for these changes.
- An increase of 357.4 million lats or 10.0% in foreign assets mostly on account of an expansion of funds deposited by the Latvian government as a result of the third instalment of the European Commission loan in the amount of 348.0 million lats.
- A decrease of 18.0 million lats or 45.1% in foreign liabilities mostly on account of a change in the lats equivalent of financial instruments.
- A decrease of 1.8 million lats or 1.2% in domestic assets following a 1.6 million lats fall in other domestic assets.
- A rise of 364.5 million lats or 14.0% in domestic liabilities as a result of 243.5 million and 96.9 million lats increases in the respective balances of the government funds and credit institutions' funds with the Bank of Latvia, as well as a 24.4 million lats increase in other domestic liabilities.
- On the liabilities side of the balance sheet, the amount of lats in circulation increased by 6.4 million lats or 0.8% mainly due to the above changes.
- An increase of 2.6 million lats or 0.9% in the capital and reserves mostly on account of the received net interest income and the result of the investment in financial instruments.
Vilnis Purvins
Deputy Head of Macroeconomic Analysis Division
Monetary Policy Department
Bank of Latvia