At end-July broad money (M2) stood at ROL 216,377 billion, up 3.8 percent in nominal terms and 2.5 percent in real terms, month on month. Net foreign assets were almost exclusively accountable for the increase in broad money.
Net foreign assets grew 5.9 percent to ROL 136,922 billion, due mainly to the 7.2 percent rise under "Convertible currencies" and the slight increase under "Gold". "Convertible currencies" went up mainly on the back of corporate and household foreign exchange deposits with banks.
Net domestic assets added 0.3 percent to ROL 79,455 billion; domestic credit edged up 4.2 percent to ROL 120,005 billion and the negative balance of other net domestic assets widened by ROL 4,549 billion.
In July, non-government credit swelled by 4.7 percent (in real terms, 3.4 percent against June and 11.4 percent in the first seven months of the year) to ROL 97,206 billion on the back of the 4.9 percent growth in ROL credit and the 2.8 percent increase in foreign exchange credit. Expressed in ROL, the foreign-currency denominated component moved up 4.5 percent. Government credit, net stepped up 2.2 percent to ROL 22,799 billion, mainly as a result of (i) the decrease in foreign-exchange liquidities held by the Ministry of Public Finance with the National Bank of Romania and (ii) the redemption of maturing government securities.
Narrow money (M1) picked up 2.1 percent to ROL 46,945 billion, on the back of the 1.1 percent decrease in currency outside banks to ROL 29,328 billion, and of the 7.7 percent rise in demand deposits to ROL 17,617 billion.
Quasi-money moved up 4.3 percent to ROL 169,432 billion. Household savings added 1.5 percent to ROL 53,138 billion accounting for 24.6 percent of the broad money. ROL-denominated government securities held by individuals stepped up 3.3 percent to ROL 14,642 billion. Household forex deposits expressed in USD edged up 6.5 percent, while the forex government securities held by individuals amounting to USD 108.9 million dropped 10.7 percent.
Corporate deposits in ROL picked up 0.7 percent to ROL 20,356 billion, of which time deposits moved down 1.1 percent to ROL 11,267 billion, restricted deposits went up 4.6 percent to ROL 4,384 billion, and certificates of deposits edged 1.6 percent higher to ROL 4,704 billion.
Residents' forex deposits (including households) expressed in ROL rose 6.7 percent to ROL 95,938 billion (5.0 percent increase to USD 3,238 million when expressed in USD).
At end-July, the non-bank sector held government securities in lei worth ROL 32,020 billion, 4.8 percent higher against June. Forex government securities held by the non-bank sector amounted to the equivalent of USD 191.7 million, down 5.5 percent compared with June.