The principal changes in the Bank of Latvia's assets and liabilities on the 31 October 2011 balance sheet as compared to 30 September 2011 and the reasons for these changes.
- A decrease of 112.6 million lats or 2.8% in foreign assets mostly as a result of a reduction in the funds deposited in foreign currencies by the Latvian government.
- A decrease of 6.1 million lats or 12.3% in foreign liabilities mostly on account of the result of the revaluation of financial instruments. A rise in the amount of funds deposited by the European Commission and the cash collateral received for securing financial transactions had an increasing effect.
- A drop of 105.5 million lats or 3.9% in domestic liabilities mostly due to decreases of 85.2 million lats or 7% and 26.8 million lats or 1.9% in the respective balances of credit institution deposits and Latvian government deposits, with the increase of 5.8 million lats or 6.8% in other financial deposits having a somewhat increasing effect.
- The amount of lats in circulation decreased by 1.7 million lats or 0.2%.
- An increase of 0.7 million lats or 0.2% in capital and reserves mostly on account of the interest income received and the result of the investment in financial instruments. The result of the revaluation of securities had a decreasing effect.
J. Caune
Chief Accountant
Bank of Latvia