At end-January 2002, broad money (M2) came in at ROL 259,932 billion, down 3.9 percent in nominal terms (6.1 percent in real terms) against December 2001. The decrease in broad money resulted from the drop in both of its components.
Net foreign assets edged down 1.1 percent to ROL 166.657 billion, due to the 1.3 percent fall under "Convertible currencies" and the broadly unchanged "Gold" component. The "Convertible currencies" decreased on the back of the net foreign exchange sales by the central bank on the forex market and the payments on external debt.
Net domestic assets went down 8.6 percent to ROL 93,275 billion. Domestic credit added 1.4 percent to ROL 145,242 billion and the negative balance under other assets, net widened by 26 percent.
In January, non-government credit moved 2.8 percent higher (0.5 percent in real terms) to reach ROL 121,591 billion on the back of increases in both ROL and foreign-exchange-denominated loans, by 2.6 percent and 1.1 percent respectively. When expressed in ROL, the latter moved up 3 percent. Government credit, net stepped down 5.4 percent (to ROL 23,650 billion) as a result of: (i) the increase in deposits of the General Account of Treasury with the National Bank of Romania; (ii) the fall in foreign-exchange denominated deposits of the Ministry of Public Finance with the National Bank of Romania (iii) the issue of government securities.
Narrow money (M1) plunged 21.1 percent to ROL 50,757 billion, as a result of the 15.8 percent drop in currency outside banks (to ROL 30,021 billion) and the 27.7 percent fall in demand deposits (to ROL 20,736 billion).
The above-mentioned developments mirror the resumption of the usual levels of these indicators following the significant seasonal rise in December.
Quasi-money stood 1.4 percent higher at ROL 209,175 billion. Household savings climbed 2.9 percent to ROL 65,542 billion, accounting for 25.2 percent of broad money against 23.6 percent at end-December, while government securities outstanding with households rose 6.3 percent to ROL 15,911 billion. Foreign-exchange deposits of households (when expressed in USD) inched up 0.7 percent, while the volume of foreign-exchange-denominated government securities outstanding with households was broadly unchanged (equivalent to USD 120,9 million).
Corporate deposits in ROL added 0.8 percent to ROL 26,919 billion. Time deposits edged down 0.3 percent to ROL 15,877 billion, restricted deposits declined by 1.3 percent to ROL 5,484 billion, and the certificates of deposit stepped up 6.3 percent to ROL 5,558 billion.
Forex deposits of residents (including households) expressed in ROL picked up 0.8 percent to ROL 116,714 billion (when expressed in USD, forex deposits dipped by one percent to USD 3,626 million).
At end-January, non-banks held government securities worth ROL 34,772 billion (up 9.8 percent against December 2001). At end-January, foreign-exchange-denominated government securities outstanding with non-banks reached the equivalent of USD 171.2 million, up 3 percent versus December 2001.