In September 2015, monetary base The monetary base includes money in circulation  (outside banking system), banking reserves (banks' reserves in MDL on correspondent accounts maintained at the National Bank of Moldova and cash in banks), deposits at sight of other organizations with the National Bank of Moldova,  “overnight” deposits of banks and required reserves in foreign currency. increased by MDL 1142.3 million (4.0 percent) compared to August 2015 and accounted for MDL 29860.8 million. The increase of the monetary base was determined by the increase of net foreign assets by MDL 806.6 million (2.9 percent) and net domestic assets by MDL 335.7 million (31.6 percent).

Money supply M2 Money supply M2 includes money in circulation (M0), deposits of residents in MDL and money market instruments.decreased by MDL 779.1 million during the reporting period or by 1.9 percent compared to August 2015 and accounted for MDL 39410.5 million.

Money supply M3 Money supply M3 includes money supply M2 and deposits of residents in foreign currency expressed in MDL.increased by MDL 187.2 million (0.3 percent) in September 2015.

The analysis of the passive components of money supply (M3) denotes the fact that this increase was driven by the increase of the total balance of deposits - by MDL 590.6 million, while the balance of Money in circulation M0 Money in circulation M0 represents cash released in circulation by the National Bank of Moldova, except for cash in banks and NBM vault.decreased by MDL 403.4 million in September 2015 (Table no.1).      

Table no.1. Passive components of money supply

The balance of deposits in national currency  decreased by MDL 375.8 million and accounted for MDL 22821.6 million, representing a share of 46.5 percent of total deposits, while the balance of deposits in foreign currency (recalculated in MDL) increased by MDL 966.4 million and accounted for MDL 26308.1 million (with a share of 53.5 percent) (Table no.2).

 Table no.2. Structure of depositsDeposits structure is classified by institutional sectors, according to the Instruction on filling out by the licensed banks of the Report on monetary statistics (Official Monitor of the Republic of Moldova no.206-215 of December 2, 2011).

The increase of money supply M3 in the reporting period was determined by the increase in net foreign assets of the banking system by MDL 1832.4 million (3.8 percent), while the net domestic assets of the banking system decreased by MDL 1645.2 million (9.7 percent). Domestic credit of the banking system increased by MDL 34.1 million, up to MDL 43366.8 million, due to the increase in the balance of credits granted to economy by MDL 556.0 million, while the balance of credits granted to the Government decreased by MDL 521.9 million.

Balance of credits in economyAccording to the IMF methodology, the interbank credits and the credits granted to the Government are excluded from the total credits in the economy (including the interest calculated for credits and for credits of banks - in liquidation process). increased by 1.3 percent in September 2015 at the expense of the increase of the credits to economy in foreign currency (expressed in MDL) by MDL 828.4 million (4.5 percent), while the credits in national currency decreased by MDL 272.4 million (1.1 percent) (Table no.3). At the same time, the credits to economy in foreign currency, expressed in USD, have decreased by USD 7.1 million, which denotes that their increase, expressed in MDL, was mainly due to the depreciation of the national currency during the reporting period.

Table no.3. Structure of credits granted to economy

The negative evolution of the balance of credits granted to economy in national currency was due to the decrease of credits granted to non-financial companies sector, which majority ownership is private by MDL 255.4 million (1.5 percent) and of credits granted to other resident sectors (including individuals) by MDL 49.3 million (0.7 percent), while the balance of credits granted to non-financial companies sector, which ownership is public and to the non-banking financial sector increased by MDL 0.9 million (0.1 percent) and by MDL 31.4 million (4.7 percent), respectively. 

Statistics