Monetary Statistics for October 1999

According to statistics published today (30 November 1999) by the Hong Kong Monetary Authority, total deposits increased while total loans and advances decreased during the month of October. Table 1 provides a summary and comparison with earlier months.

Deposits

Total deposits increased moderately by 0.5% in October. As Hong Kong dollar deposits rose faster than foreign currency deposits, the share of Hong Kong dollar deposits in total deposits edged up slightly from 55.3% in September to 55.4% in October.

Hong Kong dollar deposits increased further by 0.7% in October, following a 1.4% rise in the preceding month. The increase in Hong Kong dollar deposits was across-the-board, with demand, savings and time deposits all registering a rise.

Foreign currency deposits grew modestly by 0.2% during the month. Of the total, US dollar deposits increased by 5.0%, more than offsetting the decline in non-US dollar foreign currency deposits.

Loans and advances

Total loans and advances contracted by 1.1% in October. Domestic loans continued to decline, by 0.8% during the month. As Hong Kong dollar deposits increased while Hong Kong dollar loans declined, the Hong Kong dollar loan-to-deposit ratio decreased from 94.2% at end-September to 93.3% at end-October.

Money supply

Hong Kong dollar M1 grew by 0.6% in October. Of the total, the rise in demand deposits more than offset the 0.4% decline in currency held by the public. Meanwhile, both Hong Kong dollar M2 and M3 increased by 0.5%. In the twelve months to October, Hong Kong dollar M1 grew by 8.3%, while Hong Kong dollar M2 and M3 increased more moderately, both by 3.6%.

Note to editors

For enquiries, please contact the Press Section, Hong Kong Monetary Authority. (Telephone: 2878 8261)

Hong Kong Monetary Authority

30 November 1999