M2 Increases 13.6% YoY in June, up 0.4 ppt on May

Source: People's Bank of China, ChinaScope Financial (Data)

+       Data released by the PBOC on July 12 shows that CNY deposits increased CNY 2.86 trillion in June, up CNY 954.2 billion on June 2011. In the first half of 2012, deposits from households increased by CNY 4.21 trillion, deposits from non-financial enterprises increased CNY 1.12 trillion, and fiscal deposits increased CNY 531.4 billion.

+       At the end of June, China's broadest measure of money supply, M2, was up 13.6% year-on-year to CNY 92.5 trillion, the growth rate up by 0.4 ppt from May’s 13.2% and equal to the growth rate in December 2011.

The growth of bank deposit is slow amidst lower deposit rates and increased competition from alternatives such as wealth management and trust products.

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