TNAG-1483-FCO40-2037-Economic-situation-in-Hong-Kong-1986 — Page 50

3.11

Holdings by

commercial paper and

of

deposit-taking institutions

notes issued by non-bank institutions

(11) also continued to rise

At the end of September the

outstanding value of such holdings, at $55.3 billion,

increased by 11.7% over the end of June. The largest increase was in commercial paper issued by local companies,

reflecting the rapid expansion of the commercial paper market

in Hong Kong.

3.12

Comparing September 1986 with June 1986, and

bearing in mind that this comparison is subject to seasonal

influences, loans and advances to finance Hong Kong's visible

trade grew by 1.5%. Compared with September 1985, these loans grew by 12.9%, reflecting the sustained revival in Hong

Kong's external trade. The corresponding growth rates of

loans for use outside Hong Kong were 2.8% and 11.6%, while the growth rates of loans for use in Hong Kong were 6.1% and

12.0%.

/3.13

(11) Commercial paper and notes held by deposit-taking institutions (HK$Mn)

As at end of

Issued by

non-bank institutions in HK

Issued by companies outside HK

1985 Q1

1,527.3

Q2

2,991.6

Q3

2,606.8

04

4,738.8

27,705.4

30,669.8

31,638.6

37,777.6

1986 01

222

5,649.7

41,025.9

Q2

7,720.2

41,784.6

Q3

9,780.9

45,510.2

28

1