Consolidated financial statement of the Eurosystem as at 25 May 2007

Items not related to monetary policy operations

In the week ending 25 May 2007, the decrease of EUR 191 million in gold and gold receivables (asset item 1) reflected sales of gold by three Eurosystem central banks (consistent with the Central Bank Gold Agreement of 27 September 2004).

The net position of the Eurosystem in foreign currency (asset items 2 and 3 minus liability items 7, 8 and 9) increased by EUR 0.4 billion to EUR 146.3 billion (see “Other issues”).

The holdings by the Eurosystem of marketable securities of euro area residents denominated in euro (asset item 7) increased by EUR 1.1 billion to EUR 94.5 billion. Banknotes in circulation (liability item 1) fell by EUR 0.7 billion to EUR 623.4 billion. Liabilities to general government (liability item 5.1) increased by EUR 18.9 billion to EUR 60.2 billion.

Items related to monetary policy operations

The Eurosystem’s net lending to credit institutions (asset item 5 minus liability items 2.2, 2.3, 2.4, 2.5 and 4) increased by EUR 14.6 billion to EUR 445.6 billion. On Tuesday, 22 May 2007, a main refinancing operation of EUR 281 billion matured and a new one of EUR 295.5 billion was settled.

Recourse to the marginal lending facility (asset item 5.5) was EUR 0.2 billion (approximately the same as in the previous week), and recourse to the deposit facility (liability item 2.2) was EUR 0.2 billion (also approximately the same as in the preceding week).

Current accounts of euro area credit institutions

As a result of all transactions, the current account position of credit institutions with the Eurosystem (liability item 2.1) decreased by EUR 2.4 billion to EUR 187.2 billion.

Other issues

It should be noted with respect to the consolidated weekly financial statement of the Eurosystem as at 18 May 2007 (published on 22 May 2007) that claims on euro area residents denominated in foreign currency (asset item 3) should have shown a balance of EUR 24,111 million, instead of EUR 24,569 million, and that other assets (asset item 9) should have read EUR 231,177 million, instead of EUR 230,719 million.

Thus, the actual week-on-week changes in these positions are EUR 895 million and EUR 1,362 million, respectively.