This is an archived release.
Increase in households’ money supply growth
The twelve-month growth in total money supply (M2) was 6.2 per cent to end-March, down from 6.5 per cent to end-February. Non-financial enterprises and other financial enterprises contributed with decreasing growth, while municipal government and households had increased growth.
The total money supply amounted to NOK 1 620 billion by end-March, down from NOK 1 625 billion by end-February.
Decrease in non-financial enterprises’ money supply growth
Non-financial enterprises’ money supply amounted to NOK 542 billion at end-March, up from NOK 537 billion at end-February. The twelve-month growth decreased from 8.6 per cent to end-February, to 7.7 per cent to end-March. Non-financial enterprises’ money supply constituted about 45 per cent of their gross domestic debt measured by the credit indicator C2 at end-March.
Negative growth for other financial enterprises
Other financial enterprises’ money supply amounted to NOK 140 billion at end-March, down from NOK 150 billion at end-February. The twelve-month growth was -3.0 per cent to end-March, down from 4.0 per cent to the previous month.
Strong increase in households’ money supply growth
Households’ money supply amounted to NOK 871 billion by end-March, down from NOK 878 billion the previous month. This constituted more than half of the total money supply. The twelve-month growth in households’ money supply was 5.8 per cent to end-March. This is an increase from 5.1 per cent to end-February, and the highest twelve-month growth since September 2009. The rise in the twelve-month growth compared to the last month is related to a stronger decrease in money supply from February to March last year than this year (basis effect). The growth in households’ money supply was lower than the growth in households’ gross domestic debt, which was 6.9 per cent to end-March, according to the credit indicator C2 . For more information on the financial position of households, see the financial accounts in the national accounts .
Increased growth also for municipal government’s money supply
Municipal government’s money supply amounted to a modest NOK 67 billion at end-March, up from NOK 60 billion at end-February. The twelve-month growth increased from 16.1 per cent to end-February to 23.9 per cent to end-March.
|Oct.2010||Nov. 2010||Dec. 2010||Jan. 2010||Feb. 2011||March 2011|
|M0 - 12 mth.||-26.6||11.9||-0.6||8.4||7.5||25.2|
|M1 - 12 mth.||2.4||5.0||6.0||6.1||5.9||7.6|
|M2 - 12 mth.||4.1||5.7||5.2||6.4||6.5||6.2|
|M2 - 3 mth. moving average1||6.8||6.5||8.0||8.2||8.1|
|M2 households - 12 mth.||5.1||5.4||5.5||5.0||5.1||5.8|
|M2 non-financial enterprises - 12 mth.||1.5||5.4||5.6||8.8||8.6||7.7|
Composition of money supply
The broad money aggregate M2 amounted to NOK 1 620 billion at end-March, of which the major part, close to 92 per cent, consisted of bank deposits. In comparison, notes and coins only accounted for 2.7 per cent. The rest of the broad money mainly consisted of shares in money market funds and certificates of deposits, which accounted for 5.3 and 0.1 per cent respectively.
The money supply (broad monetary aggregate) M2 consists of notes and coins, unrestricted bank deposits, certificates of deposit and units in money market funds owned by the money-holding sector, i.e. households, non-financial enterprises, municipalities and financial enterprises other than state lending institutions, banks and money market funds.
The base money (M0) is defined as banks’ and the money-holding sector's notes and coins and deposits in Norges Bank. Banks’ deposits in Norges Bank comprise current account (sight) deposits and fixed rate (time) deposits (F-deposits), from Norges Bank’s monthly balance sheet.
Other financial enterprises include financial enterprises other than lending institutions, banks and money market funds.
Growth based on the three-month moving average is defined as growth in average money supply (seasonally-adjusted figures) in the latest three-month period in relation to the previous three-month period. The growth is adjusted for exchange rate valuation changes and statistical breaks as an annualised figure. The calculation is centred; in other words, the observation is set at the middle month of the latest three-month period.
The statistics is published with Monetary aggregates.