Monetary Statistics for March 2002

According to statistics published today (Tuesday) by the Hong Kong Monetary Authority, both total deposits and loans of all authorized institutions declined during the month of March. Table 1 provides a summary and comparison with earlier months.

Deposits

Total deposits decreased modestly by 0.2% in March. The fall was attributable to a decline in foreign currency deposits, which more than offset an increase in Hong Kong dollar deposits.

The rise in Hong Kong dollar deposits was due to increases in savings and time deposits, while demand deposits dropped moderately. The contraction in foreign currency deposits reflected largely a fall in non-US dollar foreign currency deposits.

Loans and advances

Total loans and advances declined by 0.3% during the month. Of the total, loans for use outside Hong Kong shrank by 4.4%, while loans for use in Hong Kong registered a small increase of 0.3%.

Analysed by currency, Hong Kong dollar denominated loans increased while foreign currency loans decreased. As Hong Kong dollar deposits registered a larger increase than Hong Kong dollar loans, the Hong Kong dollar loan-to-deposit ratio fell slightly to 90.8%.

Money supply

On a seasonally adjusted basis, Hong Kong dollar M1 contracted slightly by 0.4% in March, but rose considerably by 13.6% from a year ago. Both unadjusted Hong Kong dollar M2 and M3 increased by 0.6% during the month. Compared with a year ago, Hong Kong dollar M2 and M3 grew by 0.1% and 0.2% respectively.

Quarterly analysis of loans for use in Hong Kong by major economic sectors

Analysed by economic use, loans to some non-property-related sectors recorded increases in the March quarter. Loans for wholesale and retail trade grew by 1% on a quarter-on-quarter basis, in part reflecting a rise in retail sales. Loans for manufacturing, transport and transport equipment, and stockbrokers also increased moderately. Loans for residential mortgages were virtually unchanged, while those for building, construction, property development and investment shrank by 0.5%.

For further enquiries, please contact:

Jasmin Fung, Manager (Press), at 2878 8246 or
Sylvia Yip, Manager (Press), at 2878 1687

Hong Kong Monetary Authority
30 April 2002