According to statistics released today by the Monetary Authority of Macao, broad money supply continued to fall in August with a stable share of patacas.  Meanwhile, resident deposits dropped from a month ago whereas loans to residents posted an increase.

Money supply

Currency in circulation rose 1.2% whereas demand deposits dropped 5.8%. M1 thus decreased 4.1% from one month earlier.  Meanwhile, quasi-monetary liabilities fell 0.6%.  The sum of these two items, i.e. M2, decreased 1.0% to MOP701.7 billion.  On an annual basis, M1 dropped 11.1% whereas M2 grew 5.7%.  The shares of pataca (MOP), Hong Kong dollar (HKD), renminbi (RMB) and United States dollar (USD) in M2 were 33.0%, 46.7%, 4.7% and 13.8% respectively.

Deposits

Resident deposits went down by 1.0% from the preceding month to MOP683.2 billion while non-resident deposits also dropped 1.7% to MOP319.3 billion.  On the other hand, public sector deposits with the banking sector increased 1.5% to MOP262.9 billion.  As a result, total deposits in the banking sector decreased 0.7% from a month earlier to MOP1,265.3 billion.  The shares of MOP, HKD, RMB and USD in total deposits were 18.8%, 47.9%, 4.1% and 26.2% respectively.

Loans

Domestic loans to the private sector rose 0.1% from a month ago to MOP540.3 billion while external loans also grew 3.3% to MOP686.8 billion.  As a result, total loans to the private sector went up by 1.9% from a month earlier to MOP1,227.0 billion.  The shares of MOP, HKD, RMB and USD in total loans were 16.2%, 41.7%, 11.5% and 28.2% respectively.

Operating ratios

At end-August, the loan-to-deposit ratio for the resident sector rose from 56.9% at end-July to 57.1%.  Meanwhile, the ratio for both the resident and non-resident sectors increased from 94.5% to 97.0%.  The one-month and three-month current assets to liabilities ratios stood at 56.1% and 52.3% respectively.  Concurrently, the non-performing loan ratio decreased from 0.36% at end-July to 0.35%.