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

Money supply

Currency in circulation dropped 1.3% month-to-month whereas demand deposits grew 10.7%.  M1 thus increased 8.1% from one month earlier.  Meanwhile, quasi-monetary liabilities rose 1.6%.  The sum of these two items, i.e. M2, increased 2.3% to MOP580.9 billion.  On an annual basis, M1 and M2 grew 2.3% and 12.5% respectively.  The shares of pataca (MOP), Hong Kong dollar (HKD), renminbi (RMB) and United States dollar (USD) in M2 were 31.1%, 53.6%, 4.0% and 9.3% respectively.

Deposits

Resident deposits grew 2.4% from the preceding month to MOP566.4 billion while non-resident deposits also rose 0.6% to MOP259.3 billion.  On the other hand, public sector deposits with the banking sector decreased 1.3% to MOP185.8 billion.  As a result, total deposits in the banking sector grew 1.2% from a month earlier to MOP1,011.5 billion.  The shares of MOP, HKD, RMB and USD in total deposits were 20.0%, 52.0%, 4.4% and 20.9% respectively.

Loans

Domestic loans to the private sector increased 1.8% from a month ago to MOP448.8 billion.  Among which, MOP132.7 billion was MOP-denominated, MOP290.9 billion was denominated in HKD, MOP0.6 billion was denominated in RMB and MOP22.2 billion was denominated in USD, representing 29.6%, 64.8%, 0.1% and 5.0% of the total respectively.  On the other hand, external loans dropped 0.5% to MOP437.5 billion; of which, loans denominated in MOP, HKD, RMB and USD accounted for 2.0% (MOP8.9 billion), 32.4% (MOP142.0 billion), 10.3% (MOP44.9 billion) and 47.8% (MOP209.2 billion) respectively.

Operating ratios

At end-October, the loan-to-deposit ratio for the resident sector rose from 59.5% at end-September to 59.7%.  However, the ratio for both the resident and non-resident sectors fell from 88.1% to 87.6%.  Both the one-month and three-month current assets to liabilities ratios stayed at relatively high levels of 54.8% and 54.3% respectively.  Concurrently, the non-performing loan ratio remained virtually stable at 0.3%.