XN000022-1987-07-30 — Page 6

THURSDAY, JULY 30, 1987

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MONETARY STATISTICS FOR JUNE PUBLISHED

THERE WAS A FASTER INCREASE IN HONG KONG DOLLAR DEPOSITS IN JUNE THAN IN THE PREVIOUS TWO MONTHS, STATISTICS PUBLISHED TODAY (THURSDAY) BY THE MONETARY AFFAIRS BRANCH SHOWED.

INCREASE IN HONG

THIS WAS PARTLY A REFLECTION OF THE RAPID KONG DOLLAR DEMAND DEPOSITS CAUSED BY A NEW SHARE FLOTATION ON THE STOCK MARKET IN LATE JUNE. FOREIGN CURRENCY DEPOSITS FELL SLIGHTLY DURING THE MONTH.

REFLECTING THE FASTER RATES OF GROWTH IN HONG KONG DOLLAR DEPOSITS, HONG KONG DOLLAR MONEY SUPPLY ON ALL DEFINITIONS INCREASED FASTER IN JUNE AFTER THE SLOW GROWTH RATES RECORDED IN APRIL AND MAY.

TOTAL LOANS AND ADVANCES EXTENDED BY BANKS AND DEPOSIT-TAKING COMPANIES CONTINUED TO INCREASE. GROWTH IN OTHER LOANS FOR USK IN HONG KONG WAS SLOWER IN JUNE THAN IN THE PREVIOUS MONTHS. LOANS TO FINANCE HONG KONG'S VISIBLE TRADE, ON THE OTHER HAND, GREW FASTER IN JUNE WHILE LOANS FOR USE OUTSIDE HONG KONG ALSO GREW RAPIDLY.

TABLE 1 SETS OUT SUMMARY FIGURES FOR JUNE 1987 AND COMPARISONS WITH EARLIER MONTHS. A BREAKDOWN OF FOREIGN CURRENCY DEPOSITS INTO THOSE DENOMINATED IN US DOLLAR AND THOSE DENOMINATED IN OTHER FOREIGN CURRENCIES, AS WELL AS FIGURES FOR SWAP DEPOSITS, ARE ALSO GIVEN IN TABLE 1.

TABLE 2 SETS OUT FIGURES FROM THE QUARTERLY ANALYSIS OF LOANS AND ADVANCES FOR USE IN HONG KONG BY SECTOR.

DEPOSITS

IN JUNE, HONG KONG DOLLAR DEMAND DEPOSITS INCREASED RAPIDLY, BY 8.9 PER CENT AS SUBSCRIPTION MONIES TO A NEW SHARE ISSUE WERE LOCKED UP IN THE BANKING SYSTEM. SAVINGS DEPOSITS INCREASED ONLY MARGINALLY BUT TIME DEPOSITS INCREASED BY 2.8 PER CENT. AS A RESULT, TOTAL HONG KONG DOLLAR DEPOSITS ROSE BY 2.4 PER CENT IN JUNE AFTER INCREASES OF 0.7 PER CENT IN APRIL AND 0.2 PER CENT IN MAY. OVER THE YEAR (I.E. FOR THE 12 MONTHS ENDING JUNE), TOTAL HONG KONG DOLLAR DEPOSITS GREW BY 22 PER CENT.

FOREIGN CURRENCY DEPOSITS FELL BY 0.4 PER CENT IN JUNE AFTER INCREASES OF 3.7 PER CENT IN APRIL AND 1.8 PER CENT IN MAY. OVER THE YEAR, THESE DEPOSITS GREW BY 36 PER CENT. OF THE TOTAL, DEPOSITS IN US DOLLAR ROSE BY 0.2 PER CENT IN JUNE AFTER CENT IN APRIL AND 2 PER CENT IN MAY.

INCREASES

OF 1.7 PER

/AT THE