BEIJING: China’s new yuan-denominated loans hit 1.89 trillion yuan (about $282.1 billion) last month, according to the People’s Bank of China (PBC).
Data from China’s central bank showed last Friday that the amount was 392 billion yuan higher than the figure recorded a year ago.
M2, a broad measure of money supply that covers cash in circulation and all deposits, rose 11.1 percent year on year to 252.7 trillion yuan at the end of May.
The amount was 0.6 percentage points higher than the figure at the end of April and 2.8 percentage points higher than the previous year’s amount.
M1, which covers cash in circulation plus demand deposits, stood at 64.51 trillion yuan in the fifth month. up 4.6% year-on-year.
M0, or the amount of cash in circulation, jumped 13.5% from a year ago to 9.55 trillion yuan.
In May, the PBC withdrew a total of 8 billion yuan of liquidity from the market.
Newly added social finance, a measure of funds individuals and non-financial businesses receive from the financial system, posted 2.79 trillion yuan last month, an increase of 839.9 billion yuan from the same period. last year.
The data also showed that China’s new yuan deposits in May reached 3.04 trillion yuan, up 475 billion yuan from a year earlier.
As of the end of last month, the total outstanding amount of yuan deposits stood at 246.22 trillion yuan, an increase of 10.5 percent from a year earlier.
In May, renminbi settlements for cross-border trade amounted to 806 billion yuan.
The central bank recently reaffirmed its intention to implement prudent monetary policy this year, saying it would use comprehensive and structural monetary policy tools to keep the economy at a reasonable pace. XINHUA