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According to statistics published today (June 30) by the Hong Kong Monetary Authority, total deposits with authorized institutions grew for the second consecutive month by 1.3% in May. The increase was broad-based, with Hong Kong dollar and foreign currency deposits rising by 1.4% and 1.2% respectively.

Total loans and advances rose by 0.3% in May. Of the total, loans for use in Hong Kong increased by 0.4%, while loans for use outside Hong Kong contracted by 0.2%. Analysed by currency, Hong Kong dollar denominated loans declined, while foreign currency loans recorded a small rise. The Hong Kong dollar loan-to-deposit ratio fell slightly to 87.4% in May.

On a seasonally adjusted basis, Hong Kong dollar M1 grew by 2.3% during the month and by 13.3% over a year ago. Unadjusted Hong Kong dollar M2 and M3 rose by 1.3% and 1.2% respectively during the month, but were 0.3% and 0.2% lower than a year ago.

For further enquiries, please contact:

Jasmin Fung, Manager (Press), at 2878 8246 or

Thomas Chan, Senior Manager (Press), at 2878 1480

End/Monday, June 30 2003

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