Money supply grew 18.79%. At end-January 2009, broad money (M2) stood at RMB 49.61 trillion, increasing 18.79% year on year, up 0.97 percentage points from the end of last year. Narrow money (M1) registered RMB 16.52 trillion, rising 6.68% year on year, down 2.38 percentage points from the end of last year. Cash in circulation (M0) grew 12.02% year on year to RMB 4.11 trillion.
RMB loans increased 21.33%. At end-January, outstanding RMB and foreign currency loans of financial institutions totaled RMB 33.6 trillion, rising 19.78% year on year. Outstanding RMB loans reached RMB 31.99 trillion, up 21.33% year on year, accelerating by 2.6 percentage points compared with that recorded at the end of last year.
In January, RMB loans increased by RMB 1.62 trillion, up RMB 814.1 billion year on year. By sector, loans to households rose by RMB 121.4 billion, with short-term loans and long and medium-term loans increasing by RMB 62.1 billion and 59.3 billion respectively. Loans to non-financial companies and other sectors grew by RMB 1.
5 trillion. In breakdown, short-term loans, bill financing and long and medium-term loans increased by RMB 340.4 billion, 623.9 billion and 522.9 billion respectively. At end-January, outstanding foreign currency loans of financial institutions totaled USD 235.1 billion, up 0.09% year on year. Foreign currency loans dropped by USD 8.
5 billion in the month, as compared with the USD 17.1 billion rise in the same period last year.
RMB deposits grew 22.98%. At end-January, outstanding RMB and foreign currency deposits of financial institutions totaled RMB 49.47 trillion with a year-on-year growth of 22.9%. Outstanding RMB deposits increased 22.98% year on year to RMB 48.16 trillion, 3.25 percentage points higher than the end of last year.
RMB deposits registered an increase of RMB 1.51 trillion in the month, up RMB 1.28 trillion year on year. In breakdown, household deposits and fiscal deposits grew by RMB 1.53 trillion and 48.8 billion respectively while deposits of non-financial companies and other sectors were down RMB 91.9 billion.
It is necessary to note that in non-financial companies and other sectors, enterprises saw a RMB 75.9 billion increase in their deposits, as compared with the RMB 182.7 billion slide in the same period last year. At end-January, outstanding foreign currency deposits of financial institutions rose 25.
91% year on year to USD 191.7 billion. Foreign currency deposits sank by USD 1.1 billion in the month, USD 7.5 billion smaller than the drop in the same period last year.
RMB transactions in the inter-bank lending market were brisk and market rates went down. In January 2009, RMB transactions in the inter-bank lending market amounted to RMB 6.87 trillion. The average daily turnover reached RMB 403.9 billion, increasing by 17.4%, or RMB 59.8 billion, year on year.
In January, the monthly weighted interest rate for inter-bank lending averaged 0.9%, down 0.34 percentage points from end-2008 and 1.42 percentage points from the same period last year. The monthly weighted interest rate for bond pledged repo averaged 0.9%, down 0.32 percentage points from end-2008 and 1.91 percentage points from the same period last year.
