Consolidated financial statement of the Eurosystem as at 31 March 2006

Items not related to monetary policy operations

In the week ending 31 March 2006, the increase of EUR 17.7 billion in gold and gold receivables (asset item 1) mainly reflected quarterly revaluation adjustments, after 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) decreased by EUR 4.7 billion to EUR 155.3 billion. The decrease was due mainly to the effects of the quarterly revaluation of assets and liabilities, while customer and portfolio transactions carried out by Eurosystem central banks in the period under review resulted in a decrease of EUR 0.3 billion.

The holdings by the Eurosystem of marketable securities of euro area residents denominated in euro (asset item 7) decreased by EUR 0.5 billion to EUR 94.8 billion, in large part due to quarterly revaluation adjustments. Banknotes in circulation (liability item 1) increased by EUR 3.9 billion to EUR 557.2 billion. Liabilities to general government (liability item 5.1) fell by EUR 3.1 billion to EUR 55.3 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) decreased by EUR 4.3 billion to EUR 403.7 billion. On Wednesday, 29 March 2006, a main refinancing operation of EUR 298 billion matured and a new one of EUR 284 billion was settled. On Thursday, 30 March 2006, a longer-term refinancing operation of EUR 30 billion matured and a new one of EUR 40 billion was settled.

Recourse to the marginal lending facility (asset item 5.5) was EUR 0.1 billion (compared with virtually nil in the previous week), while recourse to the deposit facility (liability item 2.2) was EUR 0.4 billion (also compared with virtually nil 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 4.2 billion to EUR 155.8 billion.

Quarter-end revaluation of the Eurosystem’s assets and liabilities

In line with the Eurosystem’s harmonised accounting rules, gold, foreign exchange, securities holdings and financial instruments of the Eurosystem are revalued at market rates and prices as at the end of each quarter. The net impact of the revaluation on each balance sheet item as at 31 March 2006 is shown in the additional column “Difference compared with last week due to revaluations”. The gold price and the principal exchange rates used for the revaluation of balances were as follows:

Gold: EUR 482.485 per fine oz.

USD: 1.2104 per EUR

JPY: 142.42 per EUR

Special drawing rights: EUR 1.1910 per SDR