2007-07-27
At the end of June 2007, broad monetary aggregate M3 amounted to LTL 39.4 billion, a month-on-month increase by LTL 698.5 million (LTL 687.5 million as a result of transactions). The annual growth rate of M3 at the end of June made up 24.2 per cent. An intermediate monetary aggregate M2, which accounts for the largest part of M3, grew by LTL 683.2 million over the month (LTL 672.4 million as a result of transactions) to reach LTL 38.9 billion at the end of June. The annual growth rate of M2 was 25.5 per cent at the end of the month. Over the same month, the narrow monetary aggregate M1 widened by LTL 425.1 million (LTL 418.2 million as a result of transactions) to LTL 26.2 billion at the end of June, having increased by 22.4 per cent over the past twelve months.
In June, an increase of M3 as a result of transactions was mainly driven by an increase of LTL 267.3 million in deposits with agreed maturity of up to 2 years, a hike of LTL 222.3 million in currency in circulation, a rise of LTL 195.9 million in overnight deposits, a growth of LTL 18.2 million of repurchase transactions. Meanwhile a decrease as a result of transactions in deposits redeemable at notice of up to 3 months and in debt securities with maturity of up to 2 years pushed M3 down by LTL 13.0 million and LTL 3.1 million, respectively.
In June, net external assets of MFIs went down as a result of transactions by LTL 420.0 million, while domestic credit soared by LTL 1.6 billion. Over the last 12 months, the development trends for these two indicators varied. Net external assets of MFIs declined by 137.0 per cent year-on-year, while domestic credit rose by 33.3 per cent. In June, net external assets of the Bank of Lithuania grew by LTL 270.8 million, while those of other MFIs contracted by LTL 690.7 million.
In June, the growth of domestic credit was driven by a rise of LTL 1.6 billion in MFIs loans to other residents as a result of transactions. At the end of June, the annual growth rate of these loans made up 35.1 per cent. Loans of other MFIs to non-financial corporations went up by LTL 612.0 million with their annual growth rate reaching 34.0 per cent at the end of June. Loans to households climbed by LTL 860.5 million as a result of transactions over the month, while their year-on-year growth amounted to 64.2 per cent. Over the month, lending for house purchase went up as a result of transactions by LTL 570.5 million, and their annual growth rate made up 64.3 per cent at the end of June. Over the month, consumer and other loans augmented by LTL 103.7 million and LTL 186.2 million, respectively.
Over one month, the central government deposits increased as a result of transactions by LTL 192.4 million. However, at the end of June the annual growth rate of this indicator was 31.6 per cent. Month-on-month, longer-term financial liabilities of MFIs grew by LTL 488.2 million as a result of transactions, while their annual growth rate was 43.3 per cent at the end of June. In June, these liabilities grew mainly due to an increase of LTL 433.3 million in capital and reserves and a rise of LTL 66.8 million in debt securities over 2 years. However, deposits with an agreed maturity over 2 years contracted by LTL 11.9 million.