Monetary statistics for August 2022
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According to statistics published today (September 30) by the Hong Kong Monetary Authority, total deposits with authorized institutions remained virtually unchanged in August 2022. Among the total, Hong Kong dollar deposits decreased by 0.9 per cent while foreign currency deposits increased by 0.9 per cent, mainly reflecting fund flows of corporates. In the year to end-August, total deposits and Hong Kong dollar deposits both rose by 0.6 per cent. Renminbi deposits in Hong Kong increased by 4.4 per cent in August to RMB849.3 billion at the end of August. The total remittance of renminbi for cross-border trade settlement amounted to RMB794.2 billion in August, compared with RMB732.6 billion in July. 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 0.6 per cent in August, and decreased slightly by 0.2 per cent in the year to end-August. Among the total, loans for use in Hong Kong (including trade finance) decreased by 0.2 per cent in August and loans for use outside Hong Kong decreased by 1.6 per cent. The Hong Kong dollar loan-to-deposit ratio increased to 88.7 per cent at the end of August from 87.5 per cent at the end of July, as Hong Kong dollar loans increased while Hong Kong dollar deposits decreased.
Hong Kong dollar M2 and M3 both decreased by 0.8 per cent in August while they both rose by 0.7 per cent when compared to a year ago. The seasonally-adjusted Hong Kong dollar M1 decreased by 3.8 per cent in August, and decreased by 6.0 per cent compared to a year ago, reflecting in part investment-related activities. Total M2 and M3 both remained virtually unchanged in August. Compared to a year earlier, total M2 and total M3 both rose by 2.5 per cent.
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.
Ends/Friday, September 30, 2022
Issued at HKT 16:30
Issued at HKT 16:30
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