According to statistics released today by the Monetary Authority of Macao, broad money supply retreated in February. Meanwhile, resident deposits decreased from a month ago whereas loans to residents posted an increase.

Money supply

Currency in circulation and demand deposits decreased 4.0% and 0.7% respectively. M1 thus dropped 1.7% from one month earlier. Meanwhile, quasi-monetary liabilities fell 0.4%.  The sum of these two items, i.e. M2, retreated 0.6% to MOP688.3 billion.  On an annual basis, M1 and M2 fell 2.0% and 1.1% respectively.  The shares of pataca (MOP), Hong Kong dollar (HKD), renminbi (RMB) and United States dollar (USD) in M2 were 36.0%, 49.4%, 5.7% and 7.2% respectively.

Deposits

Resident deposits dropped 0.5% from the preceding month to MOP667.6 billion whereas non-resident deposits increased 0.1% to MOP383.7 billion.  Meanwhile, public sector deposits with the banking sector rose 0.9% to MOP264.7 billion.  As a result, total deposits in the banking sector remained virtually stable at MOP1,315.9 billion.  The shares of MOP, HKD, RMB and USD in total deposits were 19.1%, 50.0%, 6.2% and 23.2% respectively.

Loans

Domestic loans to the private sector grew by 0.1% from a month ago to MOP561.9 billion whereas external loans fell 2.7% to MOP743.8 billion. As a result, total loans to the private sector went down by 1.5% from a month earlier to MOP1,305.8 billion.  The shares of MOP, HKD, RMB and USD in total loans were 16.2%, 38.3%, 12.5% and 29.8% respectively.

Operating ratios

At end-February, the loan-to-deposit ratio for the resident sector rose from 60.2% at end-January to 60.3%. On the other hand, the ratio for both the resident and non-resident sectors decreased from 100.7% to 99.2%.  The one-month and three-month current assets to liabilities ratios stood at 63.0% and 61.1% respectively.  Concurrently, the non-performing loan ratio increased from 0.73% at end-January to 0.75%.