According to statistics released today by the Monetary Authority of Macao, broad money supply continued to grow in August with a stable share of patacas.  Meanwhile, both resident deposits and loans increased from a month earlier.

Money supply

Currency in circulation grew 0.2% month-to-month whereas demand deposits dropped 1.8%.  M1 thus decreased 1.4% from one month earlier.  On the other hand, quasi-monetary liabilities rose 1.4%.  The sum of these two items, i.e. M2, increased 1.1% to MOP574.4 billion.  On an annual basis, M1 and M2 grew 6.7% and 14.0% respectively.  The shares of pataca (MOP), Hong Kong dollar (HKD), renminbi (RMB) and United States dollar (USD) in M2 were 31.1%, 53.6%, 4.4% and 9.0% respectively.

Deposits

Resident deposits rose 1.1% from the preceding month to MOP560.0 billion while non-resident deposits dropped 3.9% to MOP261.3 billion.  On the other hand, public sector deposits with the banking sector increased 0.3% to MOP187.8 billion.  As a result, total deposits in the banking sector dropped 0.4% from a month earlier to MOP1,009.2 billion.  The shares of MOP, HKD, RMB and USD in total deposits were 20.3%, 50.9%, 4.8% and 21.8% respectively.

Loans

Domestic loans to the private sector increased 0.3% from a month ago to MOP436.0 billion.  Among which, MOP130.9 billion was MOP-denominated, MOP281.5 billion was denominated in HKD, MOP1.0 billion was denominated in RMB and MOP20.1 billion was denominated in USD, representing 30.0%, 64.6%, 0.2% and 4.6% of the total respectively.  External loans kept virtually unchanged at MOP424.2 billion; of which, loans denominated in MOP, HKD, RMB and USD accounted for 1.9% (MOP7.9 billion), 31.0% (MOP131.5 billion), 10.5% (MOP44.6 billion) and 49.0% (MOP207.9 billion) respectively.

Operating ratios

At end-August, the loan-to-deposit ratio for the resident sector dropped from 58.6% at end-July to 58.3%.  However, the ratio for both the resident and non-resident sectors grew from 84.8% to 85.2%.  Both the one-month and three-month current assets to liabilities ratios stayed at relatively high levels of 56.1% and 58.5% respectively.  Concurrently, the non-performing loan ratio remained virtually stable at 0.3%.