The country's gross international reserves (GIR) rose to its highest level since October last year, data from the Bangko Sentral ng Pilipinas (BSP) showed.

Preliminary data released Tuesday showed that the country's GIR went up to $108.8 billion in September from $107.1 billion in August.

It was the highest recorded since the $11.08 billion in October 2024.

International reserves, also referred to as GIR, are made up of foreign-denominated securities, foreign exchange, and other assets, including gold.

GIR helps a country to finance its imports and foreign debt obligations, stabilize its currency, and provide a buffer against external economic shocks.

The BSP said the increase in GIR was due to higher global gold prices, income from BSP investments, and foreign currency deposits by the national government with the BSP.

"The latest GIR level provides a robust external liquidity buffer, equivalent to 7.3 months' worth of imports of goods and payments of services and primary income," the BSP said.

It also covers about 3.6 times the country's short-term external debt based on residual maturity.

By convention, GIR is viewed to be adequate if it can finance at least three-months’ worth of the country’s imports of goods and payments of services and primary income.

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