The external position of the Bundesbank, International reserves and foreign currceny liquidity of the Eurosystem
External position of the Bundesbank
Bundesbank’s external position stood at €765 billion as at the end of September 2020, with claims from the TARGET2 payment system worth €1115 billion making up around 79% of total assets. These are followed by international reserves, comprising gold and foreign exchange reserves, including the special drawing rights allocated by the International Monetary Fund (IMF), which account for a total of 12% of assets. At 72%, issuance of euro cash accounted for the bulk of liabilities. Deposits from non-euro area residents have increased to 21% of the Bundesbank´s external liabilities following the end of the monetary policy purchase program.
The external position of the Bundesbank records its financial assets and liabilities vis-à-vis non-residents at the end of the month, marked to market and valued at the applicable exchange rates.
International reserves and foreign currency liquidity
In the Bundesbank’s data template, Germany’s international reserves and foreign currency liquidity are presented in line with an internationally standardised template pursuant to the Special Data Dissemination Standard Plus (SDDS Plus) established by the International Monetary Fund (IMF). The common template makes the level and structure of the international reserves more transparent. It was developed by the IMF and the Committee on the Global Financial System established by the Bank for International Settlements (BIS) in response to the financial crises of the 1990s.
Euro area international reserves and foreign currency liquidity
At the euro area level, the European Central Bank (ECB) publishes the aggregate international reserves and aggregate foreign currency liquidity for the Eurosystem plus national contributions pursuant to SDDS Plus requirements.