2006-11-03
At the end of September 2006, M3 amounted to LTL 33.4 billion, decreasing by LTL 142.6 million (a drop of LTL 188.0 million as a result of transactions) over one month. The annual growth rate of M3 was 27.1 per cent at the end of September. M2, which accounts for the largest part of M3, went down by LTL 15.1 million over the month (a slump of LTL 54.9 million as a result of transactions) to make up LTL 32.6 billion at the end of September. The annual growth rate of M2 was 24.7 per cent at the end of September. M1 decreased by LTL 78.2 million (a fall of LTL 100.3 million as a result of transactions) over one month to make up LTL 22.4 billion at the end of September, a hike of 24.6 per cent over twelve months.
An decrease in M3 in September was driven by the decrease in overnight deposits by LTL 214.1 million, a slump of LTL 133.1 million in debt securities with maturity of up to 2 years, and a contraction of LTL 4.2 million deposits redeemable at a period of notice of up to 3 months. However, a rise of LTL 113.8 million in currency in circulation and a 49.6 million hike in the deposits with agreed maturity of up to 2 years sent M3 up.
In September, the net external assets of MFIs dropped by LTL 918.5 million as a result of transactions, while domestic credit saw an increase of LTL 1.3 billion. The annual growth rates of these indicators were different at the end of September. Net external assets shrank by 67.3 per cent over the year, while domestic credit grew by 51.1 per cent. The slump in the net external assets of MFIs in the month of September was driven by a LTL 1.5 billion decrease in the net external assets of other MFIs
The increase in domestic credit in September was driven by a rise of LTL 1.2 billion in MFIs loans to other residents as a result of transactions. The annual growth rate of these loans made up 55.5 per cent at the end of September. Loans by other MFIs to non-financial corporations went up by LTL 642.1 million over one month while their annual growth rate made up 47.6 per cent in September. As a result of transactions, loans to households increased by LTL 611.1 million over the month, a year-on-year growth of 77.0 per cent at the end of September. Consumer loans to households rose by LTL 68.1 million, lending for house purchase grew by LTL 386.0 million, and other loans went up by LTL 157.0 million over the month. The annual growth rate of lending for house purchase was 70.3 per cent at the end of September.
Central government deposits increased by LTL 561.5 million as a result of transactions, however, in the end of September, they went down by 15.2 per cent year-on-year. Longer-term financial liabilities of MFIs soared by LTL 167.5 million over the month, a year-on-year increase of 40.0 per cent. The increase in longer-term financial liabilities of MFIs in September was driven by a LTL 94.6 million rise in capital and reserves, as a result of transactions, a surge of LTL 71.2 million in debt securities with maturity of over 2 years and an increase of LTL 1.7 million in deposits with an agreed maturity of over 2 years.