Monetary Statistics for March 2025
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According to statistics published today (April 30) by the Hong Kong Monetary Authority, total deposits with authorized institutions increased by 0.8 per cent in March 2025. Among the total, Hong Kong dollar deposits and foreign currency deposits increased by 1.6 per cent and 0.1 per cent respectively in March. In the first quarter of 2025, total deposits and Hong Kong dollar deposits increased by 3.5 per cent and 5.1 per cent respectively. Renminbi deposits in Hong Kong decreased by 7.3 per cent in March to RMB959.8 billion at the end of March, mainly reflecting fund flows of corporates. The total remittance of renminbi for cross-border trade settlement amounted to RMB1,184.0 billion in March, compared with RMB1,064.1 billion in February. 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 increased by 1.1 per cent in March, and increased by 0.6 per cent in the first quarter of 2025. Among the total, loans for use in Hong Kong (including trade finance) and loans for use outside Hong Kong increased by 1.2 per cent and 0.8 per cent respectively in March. The Hong Kong dollar loan-to-deposit ratio decreased to 72.3 per cent at the end of March from 73.5 per cent at the end of February, as Hong Kong dollar deposits increased while Hong Kong dollar loans decreased.
For the first quarter of 2025 as a whole, loans for use in Hong Kong (including trade finance) increased by 0.5 per cent after decreasing by 0.1 per cent in the previous quarter. Analysed by economic use, loans to financial concerns increased, while loans to building, construction, property development and investment decreased.
Hong Kong dollar M2 and M3 both increased by 1.5 per cent in March, and both increased by 7.7 per cent when compared to a year ago. The seasonally-adjusted Hong Kong dollar M1 increased by 0.8 per cent in March and increased by 7.0 per cent compared to a year ago, reflecting in part investment-related activities. Total M2 and total M3 both increased by 0.7 per cent in March. Compared to a year earlier, total M2 and total M3 both increased by 10.8 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/Wednesday, April 30, 2025
Issued at HKT 16:30
Issued at HKT 16:30
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