XN000022-1982-08-12 — Page 2

THURSDAY, AUGUST 12, 1982

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MONEY SUPPLY AND FINANCIAL STATISTICS FOR JUNE 1982

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THE MONEY SUPPLY AND FINANCIAL STATISTICS FOR JUNE 1982 ARE PUBLISHED TODAY. THERE WAS A FURTHER SHIFT OF DEPOSITS FROM DEPOSIT-TAKING COMPANIES TO BANKS, AS REGISTERED DEPOSIT- TAKING COMPANIES CONTINUED, AS REQUIRED, TO RUN DOWN THE IR SHORT-TERM DEPOSITS; AND THERE WAS A FURTHER MARKED EXPANSION IN FOREIGN CURRENCY DEPOSITS, WHICH PROBABLY CONTINUED TO REFLECT THE EXEMPTION, SINCE FEBRUARY, OF SUCH DEPOSITS FROM

INTEREST TAX.

AS A RESULT OF THESE STRUCTURAL INFLUENCES, M2 AGAIN INCREASED BY MORE THAN M3, AND TOTAL MONEY SUPPLY ON ALL DEFINITIONS CONTINUED TO GROW FASTER THAN ITS RESPECTIVE HONG KONG DOLLAR-DENOMINATED COMPONENT.

THE DETAILED FIGURES FOR JUNE 1982, AND COMPARISONS WITH PREVIOUS MONTHS, ARE SET OUT IN TABLE 1. TABLE 2 SETS OUT SOME FIGURES FROM THE QUARTERLY ANALYSIS OF LOANS AND ADVANCES FOR USE IN HONG KONG BY SECTOR. (NOTE: THE TWO TABLES ARE APPENDED).

HONG KONG DOLLAR MONEY SUPPLY

THE HK$ MONEY SUPPLY, ON THE NARROWEST DEFINITION, M1 ROSE BY 1.4 PER CENT IN JUNE, AFTER FALLING BY 1.6 PER CENT IN MAY. REFLECTING THE CONTINUING SHIFT OF DEPOSITS FROM DEPOSIT- TAKING COMPANIES TO BANKS, HK$ M2 GREW BY 2.1 PER CENT IN JUNE WHILE HK$ M3 FELL BY 1.0 PER CENT, FOLLOWING A GROWTH OF 0.7 PER CENT AND A FALL OF 1.3 PER CENT RESPECTIVELY IN THE PREVIOUS MONTH,

IN THE SECOND QUARTER HK$ M1 ROSE BY 2.8 PER CENT AND HK$ M2 BY 5.3 PER CENT, WHILE HK$ M3 FELL BY 2.0 PER CENT. OVER THE TWELVE MONTHS TO JUNE, HK$ M1, M2 AND M3 ROSE BY 4.3 PER CENT, 14.9 PER CENT AND 1.6 PER CENT RESPECTIVELY.

TOTAL (ALL CURRENCIES) MONEY SUPPLY

TOTAL M1 ROSE BY 1.7 PER CENT IN JUNE AFTER SHOWING LITTLE CHANGE IN MAY. TOTAL M2 GREW BY 7.6 PER CENT, FOLLOWING AN INCREASE OF 5.9 PER CENT IN MAY, AND TOTAL M3 ROSE BY 3.5 PER CENT, AFTER AN INCREASE OF 3.2 PER CENT IN THE PREVIOUS MONTH.

IN THE SECOND QUARTER, M1 ROSE BY 4.1 PER CENT, M2 BY 23.3 PER CENT AND M3 BY 12.4 PER CENT. OVER THE TWELVE-MONTH PERIOD THESE THREE AGGREGATES ROSE BY 8.5 PER CENT, 54.1 PER CENT AND 27.5 PER CENT RESPECTIVELY.

LOANS FOR USE IN HONG KONG

LOANS BY BANKS AND DEPOSIT-TAKING COMPANIES FOR USE IN HONG KONG ROSE IN JUNE BY 2.4 PER CENT, FOLLOWING AN INCREASE OF 1.8 PER CENT IN MAY. IN THE SECOND QUARTER TOTAL LOANS FOR USE IN HONG KONG EXPANDED BY 7.8 PER CENT, AND OVER THE PAST TWELVE MONTHS BY 35.7 PER CENT.

WITHIN HE