BC has gained R$ 13.4 billion with currency swap in October, until the 28th

After a loss of BRL 24.672 billion with its position in exchange rate swaps in September, the Central Bank recorded a positive result of BRL 13.422 billion in October, up to the 28th, with these contracts on a cash basis.

Based on the competence concept, there was a gain of R$ 9.383 billion in the period. The result on the accrual basis includes gains and losses incurred in the month, regardless of the financial settlement date. The financial settlement of this result (cash) takes place on the following day, on D+1.

With the profitability of managing international reserves, losses amounted to R$ 16.405 billion. Gains and losses with exchange rate correction, mark-to-market and interest are included in the calculation.

The net result of reserves, which is the profitability minus the cost of funding, was negative by R$ 27.176 billion in October, until the 28th. The result of foreign exchange operations in the period showed a loss of R$ 17.793 billion.

Year to date

In the accumulated from 2022 to October 28, the BC recorded a positive result of R$ 79.545 billion with a foreign exchange swap position based on the cash criterion. Under the competence concept, there was a gain of R$ 69.567 billion.

The BC also recorded losses of R$ 259.214 billion in the period with profitability in the management of international reserves. The net result of reserves was negative by R$ 369.304 billion in the year. The result of foreign exchange operations in the period was negative by R$ 299.737 billion.

The BC always emphasizes that, both in relation to foreign exchange swap operations and the management of international reserves, it is not aimed at profit, but at providing hedging to the market in times of volatility and maintaining a liquidity cushion in times of crisis.