17 February 2020

China aggregate financing down first time in 4 months, PBoC says

China’s social aggregate financing, which represents society-wide funding activities, amounted to 938.7 billion yuan (US$152.82 billion) in February, 131.8 billion yuan less than in same period last year, the People’s Bank of China (PBoC) said in a statement on its website Monday.

The February figure compares with 2.58 trillion yuan in January. It is the first time for social aggregate financing to shrink since October last year, when it fell to 864 billion yuan.

For the first two months this year, aggregate financing was 3.54 trillion yuan, down 78 billion yuan from the same period last year, according to central bank data.

Meanwhile, Chinese banks extended 644.5 billion yuan in new renminbi loans in February, an increase of 24.5 billion yuan from a year earlier, the PBoC said. However, it is down from 1.32 trillion yuan in January.

M2, a broad measure of money supply, rose 13.3 percent at end-February from a year ago, slightly exceeding the official full-year target of 13 percent gain and accelerating from a 13.2 percent growth in the previous month, the central bank said.

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