The principal changes in the Bank of Latvia's assets and liabilities on the 31 March 2011 balance sheet as compared to 30 April 2011 and the reasons for these changes.
- A decrease of 55.1 million lats or 1.5% in foreign assets mostly on account of a reduction in the funds deposited in foreign currencies by the Latvian government.
- An increase of 11.5 million lats or 60.6% in foreign liabilities mostly on account of a rise in the funds deposited by the European Commission.
- A fall of 80.9 million lats or 3.2% in domestic liabilities mostly due to decreases of 63.9 million lats or 4.2% and 13.6 million lats or 1.5% in the respective balances of credit institution funds and Latvian government funds as well as a drop of 10.6 million lats or 42.9% in other domestic liabilities, with the increase of 7.2 million lats or 10.0% in the balance of other financial institution funds having an increasing effect.
- The amount of lats in circulation expanded by 25.9 million lats or 2.8%.
- A decrease of 11.7 million lats or 4.1% in the capital and reserves was mainly affected by a part of the Bank of Latvia's profit earned in 2010 and appropriated to the state budget in the amount of 15.4 million lats while interest income received and the result of the revaluation of securities had an increasing effect on it.
Jānis Caune
Chief Accountant
Bank of Latvia