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FRIDAY, HOVIMBER 4, 1983
MONETARY STATISTICS FOR SEPTEMBER
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DURING SEPTEMBER 1983 TOTAL MONEY SUPPLY INCREASED RAPIDLY, ACCORDING TO MONETARY STATISTICS PUBLISHED TODAY.
THE INCREASE IN THE BROADER MEASURES, M2 AND M3, WAS MADE UP OF SHARP INCREASES IN THE FOREIGN CURRENCY COMPONENTS WHICH WERE OFFSET TO A SLIGHT EXTENT BY SMALL DECREASES IN THE HONG KONG DOLLAR COMPONENTS.
BUT ALMOST THE ENTIRE INCREASE IN THE FOREIGN CURRENCY COMPONENTS WAS DUE TO THE VALUATION EFFECT ARISING FROM THE SUBSTANTIAL DEPRECIATION OF THE HONG KONG DOLLAR DURING THE MONTH.
FOR THE SECOND MONTH RUNNING, FOREIGN CURRENCY DEPOSITS WITH THE MONETARY SECTOR EXCEEDED HONG KONG DOLLAR DEPOSITS, BUT FOREIGN CURRENCY DEPOSITS INCLUDE SWAP DEPOSITS WHICH, FOR MOST ANALYTICAL PURPOSES, SHOULD BE REGARDED AS HONG KONG DOLLAR DEPOSITS.
TOTAL HONG KONG DOLLAR LOANS AND ADVANCES GREW MODERATELY IN SEPTEMBER.
WITHIN THIS TOTAL, THOSE FOR FINANCING VISIBLE TRADE GREW ONLY MARGINALLY BUT OTHER LOANS FOR USE IN HONG KONG GREW MORE SUBSTANTIALLY.
ALSO, EVEN AFTER DISCOUNTING FOR THE VALUATION EFFECT, THERE WAS SIGNIFICANT GROWTH IN FOREIGN CURRENCY LOANS FOR THESE PURPOSES.
TABLE 1 SETS OUT A SUMMARY OF THE MONETARY STATISTICS FOR SEPTEMBER 1983 AND COMPARISONS WITH EARLIER MONTHS. TABLE 2 SETS OUT SOME FIGURES FROM THE QUARTERLY ANALYSIS OF LOANS AND ADVANCES FOR USE IN HONG KONG BY SECTOR.
HONG KONG DOLLAR MONEY SUPPLY
THE
REFLECTING THE FALL IN HK$ DEPOSITS DURING THE MONTH BROADER DEFINITIONS OF THE HK$ MONEY SUPPLY, HK$M2 AND HK$M3, FELL. THE FORMER FELL BY 0.3 PER CENT FOLLOWING A RISE OF 1.9 PER CENT IN AUGUST AND THE LATTER BY 0.5 PER CENT AFTER REMAINING UNCHANGED IN AUGUST.
HOWEVER, THE NARROWEST MEASURE, HK$M1, INCREASED BY 0.9 PER CENT, FOLLOWING A RISE OF 3.0 PER CENT IN AUGUST.
THE FALL IN HONG KONG DOLLAR DEMAND DEPOSITS WAS OFFSET BY A JUMP IN THE AMOUNT OF HONG KONG DOLLAR NOTES HELD BY THE PUBLIC, BOTH BEING COMPONENTS OF HK$M1.
IN THE THREE MONTHS TO SEPTEMBER HK$M1 ROSE BY 3.3 PER CENT. HK$M2 BY 4.4 PER CENT AND HK$M3 BY 2.3 PER CENT. OVER THE TWELVE MONTHS, THE CORRESPONDING GROWTH RATES WERE 8.8 PER CENT, 6.3 PER CENT AND 0.1 PER CENT.
IF FOREIGN CURRENCY +SWAP+ DEPOSITS ARE REGARDED AS HK$ DEPOSITS, THE BROADER MEASURES OF THE MONEY SUPPLY, HK$M2 AND HK$M3, WOULD SHOW HIGHER GROWTH RATES.
/TOTAL MOVEY
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