Banca Naţională a României

At end-July 2006, broad money (M2) totalled RON 95,888 million, edging up 0.9 percent (0.8 percent in real terms) month over month. In year-on-year comparison, broad money increased 29.4 percent, or 21.9 percent in real terms.

Net foreign assets added 1.6 percent to RON 44,401 million, as a result of "Convertible currencies" going up 1.1 percent and "Gold" rising 5.0 percent following gold stock revaluation.

Net domestic assets moved ahead 0.2 percent to reach RON 51,487 million against the background of the 1.2 percent rise in domestic credit to RON 68,131 million.

In June, non-government credit crept higher 3.9 percent (3.7 percent in real terms) over June to RON 79,401 million. RON-denominated loans increased by 5.0 percent, or 4.9 percent in real terms, while foreign currency-denominated loans advanced 2.6 percent when expressed in RON and 3.3 percent when expressed in EUR. At end-July 2006, non-government credit leapt year on year by 57.1 percent (47.9 percent in real terms) on the back of the 106.5 percent upsurge in RON-denominated loans (94.4 percent in real terms) and the 23.8 percent rise of foreign currency-denominated loans expressed in RON (when expressed in EUR, forex loans expanded by 23.0 percent).

Government credit, net, posted a credit balance of RON 11,270 million (compared to RON 9,113 million in June 2006), due mainly to the increase in deposits of the General Account of Treasury.

Narrow money (M1) added 4.1 percent to RON 28,930 million, on account of the 5.5 percent increase in demand deposits and the 2.7 percent uplift in currency outside banks.

Quasi-money inched down 0.5 percent to RON 66,958 million. Household savings in domestic currency stepped up 1.2 percent to RON 18,600 million, accounting for 19.4 percent of broad money. In year-on-year comparison, household savings climbed 18.7 percent, or 11.8 percent in real terms.

Corporate deposits in domestic currency dropped 5.1 percent to RON 19,934 million. Time deposits declined 6.9 percent (to RON 15,629 million), certificates of deposit edged up 1.1 percent (to RON 2,271 million) and restricted deposits expanded by 3.0 percent (to RON 2,034 million). At end-July 2006, corporate deposits in domestic currency jumped year on year 32.5 percent, or 24.7 percent in real terms.

Deposits in foreign currency of residents (natural and legal entities) showed an increase of 2.0 percent to RON 28,424 million when expressed in domestic currency and of 2.6 percent to EUR 8,016.2 million when expressed in euro. In year-on-year comparison, residents' forex deposits expressed in euro rose by 16.7 percent, household deposits in foreign currency by 28.2 percent and corporate deposits in foreign currency by 8.8 percent.

At end-July 2006, government securities held by non-banks went down 2.5 percent to RON 3,204 million. At end-July 2006, non-banks' government securities decreased 31.6 percent as compared with the same year-ago period.