According to statistics released today by the Monetary Authority of Macao, on a monthly basis, broad money supply continued to grow in July. As total deposits grew faster than total loans, the loan-to-deposit ratio dropped slightly from a month earlier.
Money supply
Currency in circulation dropped 0.5% while demand deposits rose 2.8%. M1 thus increased 2.3% when compared with the previous month. Quasi-monetary liabilities rose by 0.9%. M2 therefore increased by 1.1% to MOP274.3 billion. On an annual basis, M1 and M2 rose 8.7% and 20.2% respectively. The share of Pataca (MOP) in M2 stood at 26.2%, down 0.4 percentage points over a month ago and 1.9 percentage points from a year earlier. The share of Hong Kong Dollar (HKD) in M2 was 54.2%, up 0.6 percentage points month-to-month but down 0.3 percentage points year-on-year.
Deposits
Resident deposits grew 1.2% from the previous month to MOP268.1 billion. Of which, MOP deposits dropped 0.5% while HKD deposits and other foreign currency deposits increased at respective rates of 2.3% and 0.2%. Concurrently, non-resident deposits remained approximately unchanged from the previous month at MOP92.1 billion, while public sector deposits with the banking sector increased by 2.7% to MOP23.5 billion. As a result, total deposits with the banking sector grew 1.0% from a month earlier to MOP383.7 billion. The shares of MOP and HKD in total deposits were 21.8% and 45.1% respectively.
Loans
Domestic loans to the private sector grew 1.5% on a monthly basis to MOP159.1 billion. Among which, MOP40.6 billion was MOP-denominated and MOP104.2 billion was denominated in HKD, representing 25.5% and 65.5% of the total respectively. On the other hand, external loans dropped slightly by 0.3% to MOP157.9 billion; of which, loans denominated in MOP and HKD accounted for 0.2% (MOP0.4 billion) and 32.2% (MOP50.9 billion) respectively.
Loan-to-deposit ratios
As domestic loans to the private sector grew faster than resident deposits, the loan-to-deposit ratio for the resident sector at end-July 2011 rose marginally by 0.1 percentage point month-to-month to 54.5%. Meanwhile, the ratio for both the resident and non-resident sectors dropped 0.3 percentage points from the previous month to 82.6%.
