Monetary Statistics for September 2010

According to statistics published today (Friday) by the Hong Kong Monetary Authority, total deposits with authorized institutions rose by 3.6% in September 2010. Hong Kong-dollar deposits increased by 7.5% during the month, driven by a marked expansion in demand deposits due to initial public offering activity in the equity market. In contrast, foreign-currency deposits contracted by 0.7% in September. Accounting for around 5.7% of foreign-currency deposits, renminbi deposits in Hong Kong expanded markedly by 14.5% to RMB149.3 billion at the end of September, reflecting the fast development of renminbi banking business in Hong Kong.

Total loans and advances climbed by 4.7% in September. Loans for use in Hong Kong grew by 5.7% and loans for use outside Hong Kong expanded by 1.0%. As Hong Kong-dollar loans rose at a slower rate than deposits, the Hong Kong-dollar loan-to-deposit ratio declined from 78.5% at the end of August to 77.6% at the end of September.

In the third quarter of 2010, loans for use in Hong Kong grew by 9.5%, compared with a 7.6% increase in the previous quarter. Analysed by economic use, most types of loans rose and lending to stockbrokers recorded significant growth due to equity fund-raising activity at the end of September.

Seasonally adjusted Hong Kong-dollar M1 rose by 1.2% in September and expanded by 6.3% year on year. Unadjusted Hong Kong-dollar M3 increased by 7.2% during the month and climbed by 8.7% from a year earlier.

Annex

Release Schedule of Monetary Statistics in Hong Kong

The monthly release schedule of monetary statistics in Year 2011 is as follows.

For media enquiries, please contact:
Rhonda Lam, Communications Chief, at 2878 1480 or
Natalie Wu, Officer (Communications), at 2878 8246

Hong Kong Monetary Authority
29 October 2010