At end-August 2003, broad money (M2) came in at ROL 407,396 billion, up 4.2 percent in nominal terms (3.9 percent in real terms) month on month.
Table 1. Broad money and its counterparts
| INDICATOR |
31 July 2003
(ROL billion) |
31 August 2003
(ROL billion) |
Change
(%) |
| Broad money |
390,876 |
407,396 |
4.2 |
| Net foreign assets |
251,291 |
257,757 |
2.6 |
| Net domestic assets |
139,584 |
149,638 |
7.2 |
Net foreign assets moved up 2.6 percent to ROL 257,757 billion, on the back of the 3.1 percent rise under "Convertible currencies" and the broadly unchanged "Gold" component.
Net domestic assets stepped up 7.2 percent to ROL 149,638 billion. Domestic credit crept up 5.5 percent to ROL 232,323 billion, while the negative balance under other assets, net, widened by 2.4 percent to ROL 82,685 billion.
Non-government credit grew by 6.9 percent in August (a real 28.4 percent climb in the first eight months of 2003) to ROL 247,485 billion, due to the 6.5 percent increase in loans in ROL and the 7.1 percent growth in loans in foreign exchange (up 6.9 percent when expressed in EUR).
Government credit, net, plummeted by 34.3 percent (to ROL -15,162 billion) as a result of: (i) expansion in European Community funds (Phare funds) and (ii) redemption of government securities.
Table 2. Domestic credit and its components
| INDICATOR |
31 July 2003
(ROL billion) |
31 August 2003
(ROL billion) |
Change
(%) |
| Domestic credit |
220,308 |
232,323 |
5.5 |
| Non-government credit |
231,600 |
247,485 |
6.9 |
| Government credit, net |
-11,293 |
-15,162 |
34.3 |
Narrow money (M1) advanced by 6.7 percent to ROL 99,970 billion on account of the 7.4 percent climb in currency outside banks (to ROL 58,503 billion) and the 5.6 percent pick-up in demand deposits (to ROL 41,467 billion).
Table 3. Narrow money and its components
| INDICATOR |
31 July 2003
(ROL billion) |
31 August 2003
(ROL billion) |
Change
(%) |
| M1 |
93,725 |
99,970 |
6.7 |
| Currency outside banks |
54,460 |
58,503 |
7.4 |
| Demand deposits |
39,265 |
41,467 |
5.6 |
Quasi-money went up 3.5 percent to ROL 307,426 billion. Household savings edged up 1.1 percent to ROL 94,990 billion, accounting for 23.3 percent of broad money versus 24 percent at end-July.
Corporate deposits in ROL expanded by 9.2 percent to ROL 55,272 billion. Time deposits increased by 15.7 percent to ROL 32,461 billion, restricted deposits rose by 2.3 percent to ROL 10,414 billion and certificates of deposit inched up 0.2 percent to ROL 12,396 billion.
Forex deposits of residents (including households), when expressed in ROL, enhanced by 3 percent to ROL 157,164 billion (when expressed in EUR, forex deposits amounted to EUR 4,220 million). Forex deposits of households moved up 5 percent to ROL 79,153 billion (when expressed in EUR, households deposits climbed by 4.8 percent, tantamount to EUR 2,125 million). Corporate deposits in foreign exchange moved 1.3 percent higher to ROL 68,870 billion (when expressed in EUR, they stepped up 1.1 percent to EUR 1,849 million).
Table 4. Quasi-money and its components
| INDICATOR |
31 July 2003
(ROL billion) |
31 August 2003
(ROL billion) |
Change
(%) |
| Quasi-money |
297,150 |
307,426 |
3.5 |
| Household savings |
93,961 |
94,990 |
1.1 |
| ROL-denominated corporate deposits |
50,620 |
55,272 |
9.2 |
| Forex-denominated savings of residents, of which: |
152,570 |
157,164 |
3.0 |
| - households |
75,357 |
79,153 |
5.0 |
| - companies |
67,959 |
68,870 |
1.3 |
At end-August, non-banks held government securities totalling ROL 41,102 billion (up 1.1 percent month on month), of which foreign-exchange-denominated securities amounted to USD 41.8 million, 24.4 percent higher from July.
Table 5. Government securities held by non-banks
| INDICATOR |
31 July 2003 |
31 August 2003 |
Change
(%) |
| ROL-denominated government securities held by non-banks (ROL billion) |
39,550 |
39,675 |
0.3 |
| Forex-denominated government securities held by non-banks (USD million) |
33.6 |
41.8 |
24.4 |