XN000022-1987-03-03 — Page 4

TUESDAY, MARCH 3, 1987

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MONETARY STATISTICS FOR JANUARY RELEASED

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STATISTICS PUBLISHED TODAY (TUESDAY) BY THE MONETARY AFFAIRS BRANCH SHOW A RAPID INCREASE IN NOTES AND COINS HELD BY THE PUBLIC IN JANUARY 1987, DUE TO THE LARGE DEMAND FOR CASH IMMEDIATELY BEFORE THE LUNAR CHINESE NEW YEAR.

DESPITE THE LARGE CASH DRAWDOWN, TOTAL HONG KONG DOLLARS DEPOSITS GREW, ALBEIT AT A SLOWER RATE THAN IN DECEMBER LAST YEAR, AS LUNAR NEW YEAR BONUSES WERE CREDITED TO BANK ACCOUNTS.

HONG KONG DOLLAR M1 (THE NARROWEST DEFINITION OF MONEY SUPPLY) INCREASED RAPIDLY IN JANUARY DUE TO THE INCREASE IN CASH HELD BY THE PUBLIC. HONG KONG DOLLAR M2 AND M3 ALSO GREW FASTER THAN IN PREVIOUS MONTHS.

TOTAL LOANS AND ADVANCES EXTENDED BY BANKS AND DEPOSIT-TAKING COMPANIES RECORDED SUBSTANTIAL GROWTH IN JANUARY. LOANS TO FINANCE HONG KONG'S VISIBLE TRADE AND OTHER LOANS FOR USE IN HONG KONG REGISTERED HIGHER GROWTH RATES THAN IN PREVIOUS MONTHS.

A STATISTICAL TABLE, WHICH HAS BEEN SENT BY FACSIMILE NETWORK AND ALSO BOXED FOR COLLECTION, SETS OUT SUMMARY FIGURES FOR JANUARY 1987 AND COMPARISONS WITH EARLIER MONTHS.

DEPOSITS

IN JANUARY, HONG KONG DOLLAR DEMAND DEPOSITS INCREASED BY 0.9 PER CENT AFTER AN INCREASE OF 8.5 PER CENT IN DECEMBER. SAVINGS DEPOSITS INCREASED FASTER, BY 4.7 PER CENT, BUT TIME DEPOSITS FELL BY 1.4 PER CENT.

TOTAL HONG KONG DOLLAR DEPOSITS GREW BY 1.4 PER CENT AFTER INCREASES OF 1.2 PER CENT IN NOVEMBER AND 3.3 PER CENT IN DECEMBER. OVER THE YEAR (1.E. THE 12 MONTHS TO THE END OF JANUARY), THESE DEPOSITS GREW BY 13.7 PER CENT.

FOREIGN CURRENCY DEPOSITS ALSO GREW MORE SLOWLY IN JANUARY, BY 1.0 PER CENT AFTER INCREASES OF 1.4 PER CENT IN NOVEMBER AND 2.8 PER CENT IN DECEMBER. OVER THE YEAR, THESE DEPOSITS GREW BY 30.6 PER CENT.

FOREIGN CURRENCY SWAP DEPOSITS DECREASED BY 0.3 PER CENT IN JANUARY. ADJUSTED TO INCLUDE THESE DEPOSITS, HONG KONG DOLLAR DEPOSITS GREW BY 1.2 PER CENT IN JANUARY AND BY 13.4 PER CENT OVER THE YEAR, ADJUSTED FOREIGN CURRENCY DEPOSITS GREW BY 1.2 PER CENT IN JANUARY AND BY 32.9 PER CENT OVER THE YEAR.

DEPOSITS (ALL CURRENCIES) WITH BANKS INCREASED BY 2.2 PER CENT IN JANUARY WHILE THOSE WITH DEPOSIT-TAKING COMPANIES FELL BY 5.7 PER CENT. OVER THE YEAR, THE FORMER GREW BY 32.3 PER CENT WHILE THE LATTER FELL BY 20.7 PER CENT.

HONG KONG DOLLAR