XN000022-1982-07-07 — Page 2

WEDNESDAY, JULY 7, 1982

MONEY SUPPLY AND FINANCIAL STATISTICS FOR MAY 1982

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THE ONEY SUPPLY ON ALL DEFINITIONS INCREASED IN MAY BY LESS THAN IN APRIL, AND LOANS AND ADVANCES FOR USE IN HONG KONG RECORDED THE IR SMALLEST MONTHLY INCREASE SINCE OCTOBER 1981, ACCORDING TO THE MONEY SUPPLY AND FINANCIAL STATISTICS FOR MAY 1982 PUBLISHED TODAY (WEDNESDAY) BY THE SECRETARY FOR MONETARY AFFAIRS.

THE STATISTICS CONTINUED TO BE AFFECTED BY THE SPECIAL FACTORS MENTIONED IN THE LAST TWO MONTHS, ALTHOUGH PROBABLY TO A LESSER EXTENT.

THE ACCOMPANYING TABLE (WHICH IS BEING TRANSMITTED BY FACSIMILE NETWORK AND ALSO BOXED SEPARATELY) SETS OUT THE DETAILED FIGURES FOR MAY 1982, AND FOR EARLIER MONTHS, FROM THE STATISTICS COLLECTED UNDER THE MONETARY STATISTICS ORDINANCE,

HONG KONG DOLLAR MONEY SUPPLY

THE HK$ MONEY SUPPLY, ON THE NARROWEST DEFINITION, M1, FELL BY 1.6 PER CENT IN MAY, AFTER RISING BY THREE PER CENT IN APRIL, THE FALL LARGELY REFLECTING A REDUCTION IN CURRENCY IN CIRCULATION. REFLECTING A CONTINUING SHIFT OF DEPOSITS FROM DEPOSIT-TAKING COMPANIES TO BANKS, HK$ M2 GREW BY 0.7 PER CENT IN MAY WHILE HKS M3 FELL BY 1.3 PER CENT, FOLLOWING INCREASES OF 2.4 PER CENT AND 0.3 PER CENT RESPECTIVELY IN THE PREVIOUS MONTH.

IN THE LAST THREE MONTHS HK$ M1 HAS RISEN BY 0.3 PER CENT AND HK$ M2 BY 7.1 PER CENT, WHILE HK$ M3 HAS FALLEN BY TWO PER CENT. OVER A 12-MONTH PERIOD HK$ M1 HAS FALLEN BY 1.1 PER CENT, BUT HK$ M2 AND HK$ M3 HAVE INCREASED BY 16.5 PER CENT AND 5.9 PER CENT RESPECTIVELY.

TOTAL (ALL CURRENCIES) MONEY SUPPLY

TOTAL M1 SHOWED LITTLE CHANGE IN MAY AFTER A RISE OF 2.4 PER CENT IN APRIL. TOTAL M2 GREW BY 5.9 PER CENT, COMPARED WITH AN INCREASE OF 8.2 PER CENT IN APRIL, AND TOTAL M3 ROSE BY 3.2 PER CENT, AGAINST AN INCREASE OF 5.2 PER CENT IN THE PREVIOUS MONTH.

IN THE THREE MONTHS TO THE END OF MAY, M1 ROSE BY 1.3 PER CENT, M2 BY 27.4 PER CENT AND M3 BY 13.5 PER CENT. OVER A 12-MONTH PER IOD THESE THREE AGGREGATES ROSE BY 2.6 PER CENT, 48.9 PER CENT AND 30.3 PER CENT RESPECTIVELY.

/LOANS FOR