Financial accounts of Lithuania for the third quarter of 2009

FINANCIAL ACCOUNTS OF LITHUANIA FOR THE THIRD QUARTER OF 2009     Over the last two quarters the financial assets and liabilities in all economic sectors other than general government have decreased gradually. At the end of the third quarter of 2009 financial assets decreased by 4 per cent and liabilities decreased by 3 per cent as compared to the same period of 2008 (Fig. 1 and 2). At the end of the third quarter, financial assets totalled LTL 314.9 billion. Its annual growth rate was negative (–4%), whereas in the third quarter of 2008, the annual increase made up 16 per cent. The decline of financial assets was driven largely by changes in lending. The volume of loans granted in the third quarter was lower than in the second quarter by LTL 3.1 billion. The decrease of the market value of financial assets has also contributed to this decline. Over the year, the market value of quoted shares decreased by 23 per cent, the market value of Lithuanian investment funds declined by 11 per cent, and the value of investment funds of the rest of the world fell by 28 per cent. At the end of the period, the major investment positions were loans (28%), shares (27%), deposits (17%) and debt securities (10%). Lithuania’s liabilities totalled LTL 379 billion at the end of the third quarter and went down year-on-year by 3 per cent (in the 3rd quarter of 2008, the annual growth rate was 17%). Loans and debt securities accounted for the largest share of liabilities (33%). In the third quarter, the ratio of loans and debt securities to financial assets was 40 per cent.                         Fig. 1. Financial assets of Lithuania (annual growth rate)      -20 0 20 40 60 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Percentage Total economy Non-financial corporations Financial corporations General government Households 2007 2008 2009 2006     Fig. 2. Liabilities of Lithuania (annual