At end-May 2003, broad money (M2) ran at ROL 379,098 billion, up 0.1 percent in nominal terms (down 0.4 percent in real terms) month on month.
Table 1. Broad money and its counterparts
| INDICATOR |
30 April 2003
(ROL billion) |
31 May 2003
(ROL billion) |
Change
(%) |
| Broad money |
378,594 |
379,098 |
0.1 |
| Net foreign assets |
226,250 |
219,069 |
-3.2 |
| Net domestic assets |
152,344 |
160,028 |
5.0 |
Net foreign assets slid by 3.2 percent to ROL 219,069 billion, amid the 3.8 percent fall under "Convertible currencies" and the broadly unchanged "Gold" component.
Net domestic assets moved up 5 percent to ROL 160,028 billion. Domestic credit advanced by 5.9 percent to ROL 239,292 billion, while the negative balance under other assets, net, widened by 7.8 percent to ROL 79,263 billion.
Non-government credit picked up 5.4 percent in May (increasing 15.5 percent in real terms in the first five months of the year) to ROL 217,660 billion, due to the 9.3 percent rise in loans in ROL and the 2.9 percent growth in loans in foreign exchange (down 0.2 percent when expressed in EUR).
Government credit, net, added 11.4 percent to ROL 21,632 billion as a result of: (i) the contraction in the deposits in both domestic and foreign currency of the Ministry of Public Finance with the National Bank of Romania; (ii) the redemption of ROL- and forex-denominated government securities.
Table 2. Domestic credit and its components
| INDICATOR |
30 April 2003
(ROL billion) |
31 May 2003
(ROL billion) |
Change
(%) |
| Domestic credit |
225,900 |
239,292 |
5.9 |
| Non-government credit |
206,479 |
217,660 |
5.4 |
| Government credit, net |
19,422 |
21,632 |
11.4 |
Narrow money (M1) lowered by 3.2 percent to ROL 85,019 billion on account of the 2.6 percent drop in currency outside banks reaching ROL 50,213 billion, and the 4 percent slide in demand deposits, to ROL 34,806 billion.
Table 3. Narrow money and its components
| INDICATOR |
30 April 2003
(ROL billion) |
31 May 2003
(ROL billion) |
Change
(%) |
| M1 |
87,820 |
85,019 |
-3.2 |
| Currency outside banks |
51,575 |
50,213 |
-2.6 |
| Demand deposits |
36,245 |
34,806 |
-4.0 |
Quasi-money edged up 1.1 percent to ROL 294,078 billion. Household savings inched down 0.5 percent to ROL 93,633 billion, accounting for 24.7 percent of broad money, versus 24.9 percent at end-April.
Corporate deposits in ROL crept down 0.5 percent to ROL 50,158 billion. Time deposits dipped by 2.7 percent to ROL 26,772 billion, restricted deposits advanced by 7.8 percent to ROL 10,677 billion, while certificates of deposit dropped by 2 percent to ROL 12,709 billion.
Forex deposits of residents (including households), when expressed in ROL, picked up 2.8 to ROL 150,287 billion (when expressed in EUR, forex deposits amounted to EUR 3,946 million). Forex deposits of households went up 3.4 percent to ROL 73,133 billion (the equivalent of EUR increase by a mere 0.3 percent up to EUR 1,920 million). Corporate deposits in foreign exchange rose by 1.2 percent to ROL 67,879 billion (when expressed in EUR, they stepped down 1.8 percent to EUR 1,782 million)
Table 4. Quasi-money and its components
| INDICATOR |
30 April 2003
(ROL billion) |
31 May 2003
(ROL billion) |
Change
(%) |
| Quasi-money |
290,774 |
294,078 |
1.1 |
| Household savings |
94,126 |
93,633 |
-0.5 |
| ROL-denominated corporate deposits |
50,395 |
50,158 |
-0.5 |
| Forex-denominated deposits of residents, of which: |
146,253 |
150,287 |
2.8 |
| - households |
70,712 |
73,133 |
3.4 |
| - companies |
67,101 |
67,879 |
1.2 |
At end-May, non-banks held government securities totalling ROL 40,384 billion (up 0.6 percent month on month), of which foreign-exchange-denominated securities amounted to USD 66.2 million, 26.6 percent higher from April.
Table 5. Government securities held by non-banks
| INDICATOR |
30 April 2003 |
31 May 2003 |
Change
(%) |
| ROL-denominated government securities held by non-banks (ROL billion) |
38,404 |
38,255 |
-0.4 |
| Forex-denominated government securities held by non-banks (USD million) |
52.3 |
66.2 |
26.6 |