China’s new yuan loans expand in October, M2 growth moderates

2017-11-13
Xinhua

BEIJING — Chinese banks extended 663.2 billion yuan ($100 billion) of new loans in October, while broad money supply growth also accelerated, central bank data showed on Nov 13.

New yuan-denominated loans in October increased by 11.9 billion yuan from September, the People’s Bank of China said in an online statement.

The M2, a broad measure of money supply that covers cash in circulation and all deposits, at the end of October rose 8.8 percent from a year earlier, 2.8 percentage points down from the same period last year.

The narrower measure of money supply (M1), which covers cash in circulation plus demand deposits, rose 13 percent year on year to 52.6 trillion yuan at the end of October.

New loans made to nonfinancial enterprises and government institutions hit 214.2 billion yuan in October, indicating credit demand from the real economy.

Medium to long-term loans, mainly consisting of personal housing mortgages, added 371 billion yuan in October.

By the end of October, outstanding yuan loans grew 13 percent from a year earlier to 118.42 trillion yuan.

The newly added measure of social financing, a broader measure of financing, reached 1.04 trillion yuan in October, an increase of 152.2 billion yuan from the same period a year ago.