2006-06-29
At the end of May 2006, a broad monetary aggregate M3 equalled to LTL 31.1 billion, a month-on-month increase of LTL 330.5 million (a surge of LTL 435.3 million due to transactions). The annual growth rate of M3 made up 27.5 percent at the end of May. During the period, an intermediate money aggregate M2 that comprises the largest portion of M3 rose by LTL 484.9 million (LTL 577.4 million due to transactions) and made up LTL 30.4 billion at the end of month. The annual growth rate of M2 was 24.4 percent. During the same month, a narrow monetary aggregate M1 went up by LTL 560.0 million (an increase of LTL 603.7 million due to transactions) to LTL 20.8 billion, increasing due to transactions by 23.9 percent over the past twelve months.
In May, the growth of M3 due to transactions was a result of an increase of LTL 592.2 million in overnight deposits, a rise of LTL 11,4 million in the amount of currency in circulation, and a hike of LTL 1.4 million in deposits with agreed maturity of up to two years. At the same time, a decline of LTL 142.1 million in debt securities with maturity of up to two years and a decrease of LTL 27.7 million in deposits redeemable at up to three-month notice made M3 go slightly down.
In May, net external assets of MFIs decreased due to transactions by LTL 806.0, whereas domestic credit went up by LTL 1.5 billion. The annual growth rates of the two indicators were different at the end of the month. Year-on-year, net external assets declined by 77.5 percent, while domestic credit grew up by 63.6 percent. The main cause for the decrease of the net external assets of MFIs due to transactions was a LTL 791.4 million slump in the net external assets of other MFIs.
The growth of domestic credit due to transactions in May was a result of an increase of LTL 1.3 billion in MFIs loans to other residents. At the end of May, the annual growth rate of this category of loans constituted 70.5 percent. The loans of other MFIs to non-financial corporations increased due to transactions by LTL 544.5 million over this month, while the annual growth rate was 51.5 percent at the end of May. The loans of other MFIs to households increased due to transactions by LTL 599.3 million over May, while the annual growth rate of them due to transactions was 84.6 percent at the end of this month. Consumer credit to households rose by LTL 116.0 million, lending for house purchase grew by LTL 327.2 million, and other lending went up by LTL 156.1 million over this month. The annual growth rate of lending for house purchase was 82.2 percent at the end of May.
The central government deposits melted by LTL 110.7 million due to transactions over May, while longer-term financial liabilities of MFI soared by LTL 256.4 million. The annual growth rates of these two indicators were different at the end of the month. The deposits of the central government went down by 10.8 percent over the past twelve months, whereas longer-term financial liabilities of MFI increased by 37.9 percent. In May, the longer-term financial liabilities of MFI grew as a result of an increase of LTL 125.3 million in capital and reserves (due to transactions), also a rise of LTL 123.3 million in debt securities with maturity of over two years, and a hike of LTL 7.8 million in deposits with agreed maturity of over two years.