According to statistics released today by the Monetary Authority of Macao, broad money supply rebounded in April. As total loans increased at a faster pace than total deposits, the overall loan-to-deposit ratio of the banking sector rose from a month earlier.
Money supply
Currency in circulation grew 0.8% whereas demand deposits dropped 2.6%. M1 thus decreased 2.1% from one month earlier. Concurrently, quasi-monetary liabilities grew 2.7%. The sum of these two items, i.e. M2, increased 2.1% to MOP465.0 billion. On an annual basis, M1 and M2 rose 4.9% and 17.3% respectively. The share of Pataca (MOP) in M2 stood at 24.3%, down 0.3 percentage points from a month ago or 0.4 percentage points from a year earlier. The share of Hong Kong Dollar (HKD) in M2 was 49.3%, down 0.5 percentage points month-to-month or 5.5 percentage points year-on-year.
Deposits
Resident deposits increased 2.1% from the preceding month to MOP455.4 billion. Of which, MOP deposits, HKD deposits and other foreign currency deposits increased at respective rates of 0.7%, 1.2% and 5.3%. Non-resident deposits rose 3.0% to MOP202.5 billion. Public sector deposits with the banking sector also increased 0.7% to MOP86.0 billion. As a result, total deposits with the banking sector grew 2.2% from a month earlier to MOP743.9 billion. The shares of MOP and HKD in total deposits were 18.6% and 40.2% respectively.
Loans
Domestic loans to the private sector increased 2.9% from a month ago to MOP292.1 billion. Among which, MOP82.9 billion was MOP-denominated and MOP183.9 billion was denominated in HKD, representing 28.4% and 62.9% of the total respectively. On the other hand, external loans rose 3.5% to MOP306.2 billion; of which, loans denominated in MOP and HKD accounted for 1.8% (MOP5.4 billion) and 22.6% (MOP69.2 billion) respectively.
Loan-to-deposit ratios
The loan-to-deposit ratio for the resident sector at end-April rose 0.5 percentage points from the previous month to 54.0%. The ratio for both the resident and non-resident sectors also grew, by 0.8 percentage points to 80.4%.
