Monetary Statistics for October 2023

According to statistics published today (30 November) by the Hong Kong Monetary Authority, total deposits with authorized institutions remained virtually unchanged in October 2023. Among the total, Hong Kong dollar deposits decreased by 0.4% while foreign currency deposits increased by 0.4% in October.  In the year to end-October, total deposits and Hong Kong dollar deposits grew by 2.3% and 1.2% respectively. Renminbi deposits in Hong Kong increased by 3.3% in October to RMB984.0 billion at the end of October. The total remittance of renminbi for cross-border trade settlement amounted to RMB978.6 billion in October, compared with RMB1,002.5 billion in September. It should be noted that changes in deposits are affected by a wide range of factors, such as interest rate movements and fund-raising activities. It is therefore more appropriate to observe the longer-term trends, and not to over-generalise fluctuations in a single month.  

Total loans and advances decreased by 0.5% in October, and decreased by 3.1% in the year to end-October.  Among the total, loans for use in Hong Kong (including trade finance) and loans for use outside Hong Kong decreased by 0.3% and 1.2% respectively in October. The Hong Kong dollar loan-to-deposit ratio decreased to 86.1% at the end of October from 86.3% at the end of September, as Hong Kong dollar loans decreased by a larger extent than Hong Kong dollar deposits.

Hong Kong dollar M2 and M3 both decreased by 0.4% in October while both increased by 3.3% when compared to a year ago. The seasonally-adjusted Hong Kong dollar M1 increased by 0.4% in October while decreased by 15.4% compared to a year ago, reflecting in part investment-related activities. Total M2 and total M3 both increased by 0.1% in October. Compared to a year earlier, total M2 and total M3 both increased by 3.3%.

As monthly monetary statistics are subject to volatilities due to a wide range of transient factors, such as seasonal and IPO-related funding demand as well as business and investment-related activities, caution is required when interpreting the statistics.

Annex

Hong Kong Monetary Authority
30 November 2023