1. Broad money rose by 7 percent
At end-January, broad money supply (M2) stood at RMB318.52 trillion, rising by 7 percent year on year. Narrow money supply (M1), at RMB112.45 trillion, grew by 0.4 percent year on year. The amount of currency in circulation (M0) was RMB14.23 trillion, an increase of 17.2 percent year on year. The month saw a net money injection of RMB1.41 trillion.
2. RMB loans grew by RMB5.13 trillion in January
At end-January, outstanding RMB and foreign currency loans totaled RMB264.6 trillion, up 7 percent year on year. Outstanding RMB loans stood at RMB260.77 trillion, registering a year-on-year growth of 7.5 percent.
In January, RMB loans expanded by RMB5.13 trillion. By sector, household loans increased by RMB443.8 billion, with short-term loans falling by RMB49.7 billion and medium and long-term (MLT) loans rising by RMB493.5 billion; loans to enterprises and public institutions grew by RMB4.78 trillion, with short-term loans and MLT loans increasing by RMB1.74 trillion and RMB3.46 trillion, respectively, and bill financing decreasing by RMB514.9 billion; and loans to non-banking financial institutions dropped by RMB200.8 billion.
At end-January, outstanding foreign currency loans stood at USD534.8 billion, down 19.9 percent year on year. The month saw a slide of USD7.3 billion in foreign currency loans.
3. RMB deposits increased by RMB4.32 trillion in January
At end-January, the outstanding amount of RMB and foreign currency deposits was RMB312.95 trillion, up 5.9 percent year on year. RMB deposits recorded an outstanding amount of RMB306.55 trillion, rising by 5.8 percent year on year.
In January, RMB deposits increased by RMB4.32 trillion. Specifically, household deposits and fiscal deposits rose by RMB5.52 trillion and RMB332.4 billion, respectively, while deposits of non-financial enterprises and those of non-banking financial institutions fell by RMB206 billion and RMB1.11 trillion, respectively.
At end-January, the outstanding amount of foreign currency deposits was USD892.4 billion, up 7.9 percent year on year. January saw an increase of USD39.5 billion in foreign currency deposits.
4. The monthly weighted average interest rates for interbank RMB lending and bond pledged repos in January stood at 1.86 percent and 2.16 percent respectively
Lending, cash bond and repo transactions in the interbank RMB market totaled RMB140.91 trillion for January, with the daily average declining by 22.9 percent year on year to RMB7.42 trillion. Specifically, the average daily turnovers of interbank lending, cash bond trading and pledged repo trading dropped by 45.7 percent, 10.1 percent and 24 percent year on year, respectively.
The monthly weighted average interest rate for interbank lending in January stood at 1.86 percent, up 0.29 percentage points month on month and 0.03 percentage points year on year. The monthly weighted average interest rate for pledged repos was 2.16 percent, up 0.51 percentage points month on month and 0.26 percentage points year on year.
5. RMB cross-border settlement under the current account reached RMB1.43 trillion and RMB cross-border settlement of direct investment posted RMB0.76 trillion for January
RMB cross-border settlement under the current account reached RMB1.43 trillion for January, including RMB1.12 trillion in settlement of trade in goods and RMB0.31 trillion in settlement of trade in services and other current account items. RMB cross-border settlement of direct investment amounted to RMB0.76 trillion for the month, of which ODI and FDI posted RMB0.25 trillion and RMB0.51 trillion, respectively.
Notes:
1. Data for the current period are preliminary.
2. “Loans to enterprises and public institutions” in this report refers to loans to non-financial enterprises, government agencies and organizations.
3. Starting from January 2023, the People’s Bank of China (PBOC) has incorporated into the coverage of financial statistics three types of non-depository banking financial institutions, i.e., consumer finance companies, wealth management companies, and financial asset investment companies.
4. Starting from January 2025 statistics, the PBOC has revised the measurement of narrow money supply (M1). The revised M1 consists of currency in circulation (M0), corporate demand deposits, personal demand deposits, and customers’ reserve funds with non-bank payment institutions. Adjusted accordingly on a comparable basis, the month-end M1 balances and growth rates of 2024 are shown below.
Jan. 2024 |
Feb. 2024 |
Mar. 2024 |
Apr. 2024 |
May 2024 |
Jun. 2024 |
|
M1 Balances (RMB100 million) |
1120120 |
1093158 |
1117433 |
1075084 |
1064391 |
1089170 |
YOY Growth Rates |
3.3% |
2.6% |
2.3% |
0.6% |
-0.8% |
-1.7% |
Jul. 2024 |
Aug. 2024 |
Sept. 2024 |
Oct. 2024 |
Nov. 2024 |
Dec. 2024 |
|
M1 Balances (RMB100 million) |
1051800 |
1049684 |
155410 |
1054884 |
1076379 |
1113069 |
YOY Growth Rates |
-2.6% |
-3.0% |
-3.3% |
-2.3% |
-0.7% |
1.2% |