Banca Naţională a României

At end-June 2005, broad money (M2) amounted to ROL 742,003 billion, up 3.1 percent (2.8 percent in real terms) month on month. In year-on-year comparison, broad money surged 46.5 percent, or 33.5 percent in real terms.

Net foreign assets edged up 4.4 percent to ROL 400,893 billion, due to the 4.1 percent rise under "Convertible currencies" and the 6.5 percent pick-up under "Gold" (as a result of gold stock revaluation).

Net domestic assets added 1.7 percent to ROL 341,110 billion against the background of a 0.7 percent drop in domestic credit (to ROL 414,902 billion) and a 10.3 percent decrease in the negative balance under other assets, net (to ROL -73,792 billion).

In June, non-government credit increased 3.9 percent (3.6 percent in real terms) to ROL 489,564 billion, owing to the 3.8 percent pick-up in ROL-denominated loans and the 4.0 percent advance in forex-denominated loans (when expressed in euro, forex loans went up 4.5 percent). In year-on-year comparison, non-government credit leapt by 39.3 percent (27.0 percent in real terms) on account of the 33.7 percent growth in ROL-denominated loans (21.9 percent in real terms) and the 43.2 percent expansion in foreign exchange-denominated loans expressed in ROL (when expressed in euro, forex loans climbed 61.4 percent).

Government credit, net, posted a negative balance of ROL -74,662 billion (compared to ROL -53,194 billion in May 2005), as a result of (i) funds raised by the Bucharest Mayoralty, following the EUR 500 million worth of Eurobonds issued on the international market and (ii) the increase in forex deposits of the Ministry of Public Finance with the National Bank of Romania.

Narrow money (M1) stood 7.9 percent higher at ROL 184,950 billion, due to the 10.3 percent expansion in currency outside banks (to ROL 95,815 billion) and the 5.4 percent rise in demand deposits (to ROL 89,135 billion).

Quasi-money rose 1.6 percent to ROL 557,053 billion. Household savings inched up 0.3 percent to ROL 154,575 billion, accounting for 20.8 percent of broad money. In year-on-year comparison, household savings jumped 33.1 percent, or 21.3 percent in real terms.

Corporate deposits in ROL edged up 0.8 percent to ROL 148,828 billion. Time deposits and restricted deposits went up 1.8 percent (to ROL 104,700 billion) and 1.2 percent (to ROL 16,722 billion) respectively, while certificates of deposit fell by 2.9 percent (to ROL 27,406 billion). Corporate deposits in ROL surged by 78.1 percent (62.4 percent in real terms) over the same year-ago period.

Residents' deposits in foreign exchange (households included), moved up 2.9 percent to ROL 253,650 billion when expressed in domestic currency and 3.4 percent to EUR 7,036 million when expressed in euro. Household deposits in foreign exchange were up 2.0 percent to ROL 100,773 billion (when expressed in euro, household deposits rose 2.5 percent to EUR 2,795 million).

Corporate deposits in foreign exchange expanded by 4.8 percent to ROL 144,056 billion (when expressed in euro, corporate deposits rose by 5.3 percent to EUR 3,996 million). When expressed in euro, residents' forex deposits increased year on year by 57.9 percent, household deposits in foreign exchange by 21.1 percent and corporate forex deposits by 109.3 percent.

At end-June 2005, non-banks held government securities totalling ROL 44,426 billion (up 1.3 percent month on month), of which foreign exchange-denominated securities were worth EUR 102.9 million, up 3.4 percent from the previous month.