XN000022-1980-06-05 — Page 2

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THURSDAY, JUNE 5, 1980

APRIL MONEY SUPPLY AND FINANCIAL STATISTICS

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THE MONEY SUPPLY AND FINANCIAL STATISTICS FOR APRIL 1980, PUBLISHED TODAY, SHOW A MARKED FALL, PARTLY ON SEASONAL GROUNDS, IN THE QUARTERLY GROWTH RATES OF THE MONEY SUPPLY AND OF CREDIT TO THE ECONOMY.

THE MONEY SUPPLY GREW IN APRIL BY MUCH LESS IN ABSOLUTE TERMS THAN THE TOTAL CREDIT TO THE ECONOMY, SUGGESTING THAT THERE MAY HAVE BEEN A SUBSTANTIAL OUTFLOW OF FUNDS FROM HONG KONG DURING THE MONTH, PRESUMABLY ON INTEREST RATE DIFFERENTIALS.

(DESPITE THIS OUTFLOW, THE HK DOLLAR ROSE AGAINST THE US DOLLAR FROM 5.07 AT THE END OF MARCH TO 4.91 AT THE END OF APRIL: MOST OF THIS RISE WAS SEEN IN THE SECOND HALF OF APRIL, SO THAT THE OUTFLOW MAY HAVE BEEN CONCENTRATED IN THE FIRST HALF OF THE MONTH.)

THE DETAILED FIGURES FOR APRIL, AND COMPARISONS WITH EARLIER MONTHS, ARE SET OUT IN THE FOLLOWING TABLE :

MONEY AND BANKING FIGURES

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END OF APRIL 1980 (IN $MILLION)

FIGURES FOR EARLIER MONTHS

{% CHANGE):

APRIL 1980

MARCH 1980

JAN

APRIL

1980

1979

M1

20 039

20 310 (-1.3%)

M2

76 973

M3

107 967

106 657 {+1.2%)

76 109 (+1,1%)

21 226 (-5.6%)

77 436 (-0.6%)

105 032 (+2.8%)

18 902 (+6.0%)*

66 571 {+15.6%)*

81 933 (+31.8%)

BANKS

DEPOSITS

LOANS AND ADVANCES IN 72 024

HONG KONG

LOAN/DEPOSIT RATIO

AVERAGE LIQUIDITY

RATIO

69 509

69 560 (+3.5%)

68 393 (+1.6%)

70 063 (-0.8%)

66 223 (+8.8%)

59 916 (+16.0%)*

51 874 (+38.8%)*

103.6%

101.7%

94.5%

86.6%

49.6%

52.6% 53.6%

48.3%

/DEPOSIT-TAKING