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THURSDAY, JULY 30, 1987
AT THE END OF JUNE, US DOLLAR DEPOSITS ACCOUNTED FOR 62.2 PER CENT OF ALL FOREIGN CURRENCY DEPOSITS. DEPOSITS IN FOREIGN CURRENCIES OTHER THAN US DOLLARS DECREASED BY
1.4 PER CENT IN JUNE AFTER INCREASES OF 7.2 PER CENT IN APRIL AND 1.5 PER CENT IN MAY.
THE REBOUND OF THE US DOLLAR IN THE FOREIGN EXCHANGE MARKET DURING MAY AND JUNE WAS PROBABLY THE MAIN FACTOR RESPONSIBLE FOR THE DECREASE IN GROWTH RATE OF NON-US DOLLAR FOREIGN CURRENCY DEPOSITS, GIVEN THAT THE HONG KONG DOLLAR WAS STABLE AGAINST THE US DOLLAR UNDER THE LINKED EXCHANGE RATE SYSTEM.
IN
FOREIGN CURRENCY SWAP DEPOSITS INCREASED BY 7.9 PER CENT JUNE TO SLIGHTLY OVER $33 BILLION. ADJUSTED TO INCLUDE THESE DEPOSITS, HONG KONG DOLLAR DEPOSITS GREW BY 3 PER CENT IN JUNE WHILE ADJUSTED FOREIGN CURRENCY DEPOSITS DECREASED BY 1.2 PER CENT.
CENT
DEPOSITS (ALL CURRENCIES) WITH BANKS INCREASED BY 0.9 PER IN JUNE WHILE THOSE WITH DEPOSIT-TAKING COMPANIES DECREASED BY 0.2 PER CENT. FOR THE THREE MONTHS ENDING JUNE, THE FORMER GREW BY 4.6 PER CENT WHILE THE LATTER BY 2.2 PER CENT.
MONEY SUPPLY
HONG KONG DOLLAR M1 GREW BY 4.3 PER CENT IN JUNE, BEING INFLUENCED BY THE RAPID INCREASE IN DEMAND DEPOSITS. HK$M2 AND HK$M3 RECORDED INCREASES OF 2.1 PER CENT AND 2.2 PER CENT RESPECTIVELY. THESE GROWTH RATES WERE HIGHER THAN THE CORRESPONDING GROWTH RATES OF 0.9 PER CENT AND 0.8 PER CENT IN APRIL, AND THE 0.6 PER CENT AND 0.5 PER CENT IN MAY. OVER THE YEAR, HK$M2 GREW BY 28.8 PER CENT WHILE HK$M3 GREW BY 22.9 PER CENT.
TOTAL MONEY SUPPLY M1 ROSE BY 7.4 PER CENT IN JUNE AFTER A DECREASE OF 0.8 PER CENT IN MAY. GROWTH IN TOTAL M2 AND TOTAL M3, ON THE OTHER HAND, SLOWED DOWN IN JUNE. TOTAL M2 GREW BY 0.9 PER CENT AFTER INCREASES OF 2.4 PER CENT IN APRIL AND 1.3 PER CENT IN MAY, WHILE TOTAL M3 GREW BY 0.8 PER CENT IN JUNE AFTER INCREASES OF 2.3 PER CENT IN APRIL AND 1.3 PER CENT IN MAY, OVER THE YEAR, TOTAL M1 GREW BY 39.5 PER CENT, TOTAL M2 BY 34.7 PER CENT AND TOTAL M3 BY 29.5 PER CENT.
LOANS AND ADVANCES
TOTAL OUTSTANDING LOANS AND ADVANCES EXTENDED BY BANKS AND DEPOSIT-TAKING COMPANIES GREW FASTER IN JUNE, BY 5.1 PER CENT AFTER INCREASES OF 2.3 PER CENT IN APRIL AND 2.8 PER CENT IN MAY.
THE MORE RAPID INCREASE IN TOTAL OUTSTANDING LOANS IN JUNE WAS DUE TO A SUDDEN INCREASE IN LOANS FOR USE OUTSIDE HONG KONG OF 13.8 PER CENT OF THE TOTAL LOANS AND ADVANCES, LOANS DENOMINATED IN HONG KONG DOLLARS GREW BY 1 PER CENT IN JUNE WHILE THOSE DENOMINATED IN FOREIGN CURRENCIES INCREASED BY 9.1 PER CENT,
WITHIN THE