Monetary statistics for February 2024

The following is issued on behalf of the Hong Kong Monetary Authority:

     According to statistics published today (March 28) by the Hong Kong Monetary Authority, total deposits with Authorized Institutions increased by 0.2 per cent in February 2024. Among the total, Hong Kong dollar deposits decreased by 0.2 per cent while foreign currency deposits increased by 0.6 per cent in February. In the first two months of 2024, total deposits and Hong Kong dollar deposits decreased by 0.4 per cent and 0.5 per cent respectively. Renminbi deposits in Hong Kong increased by 1.0 per cent in February to RMB964.2 billion at the end of February. The total remittance of renminbi for cross-border trade settlement amounted to RMB1,064.4 billion in February, compared with RMB1,400.9 billion in January. 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 1.0 per cent in February, and decreased by 1.8 per cent in the first two months of 2024. Among the total, loans for use in Hong Kong (including trade finance) and loans for use outside Hong Kong decreased by 1.0 per cent and 1.2 per cent respectively in February. The Hong Kong dollar loan-to-deposit ratio decreased to 83.7 per cent at the end of February from 84.2 per cent at the end of January, as Hong Kong dollar loans decreased by a larger extent than Hong Kong dollar deposits.
     Hong Kong dollar M2 and M3 both decreased by 0.3 per cent in February while both increased by 0.1 per cent when compared to a year ago. The seasonally-adjusted Hong Kong dollar M1 increased by 1.5 per cent in February while decreased by 10.7 per cent compared to a year ago, reflecting in part investment-related activities. Total M2 and total M3 both increased by 0.2 per cent in February. Compared to a year earlier, total M2 and total M3 increased by 4.0 per cent and 4.1 per cent respectively.  
     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/Thursday, March 28, 2024
Issued at HKT 16:30