In November 2022, the currency in circulation (M0)1 amounted to MDL 32,709.1 million, increasing by MDL 997.6 million (3.1%) compared to December 2021 (Chart 1) due to exceeding of the volume of cumulative receipts over the volume of cumulative releases per banking system2 by MDL 997.7 million in the period of January – November 2022.
Chart 1.
Correlation of M0 indicator with volume of cash operations, million MDL
During January – November 2022, the volume of cash receipts increased by 12.6% compared to the similar period of the previous year and amounted to MDL 156,835.9 million. The increase in the volume of cash receipts was mainly determined by the increase by 8.7% of the receipts from the sale of consumer goods (regardless of the sales channel), which have the largest share (54.1%) in the volume of total receipts (Chart 2). At the same time, the volume of receipts from the sale of foreign currency to individuals increased by 69.8%, amounting to MDL 10,109.1 million (the equivalent of USD 536.0 million3).
This evolution was supported by most sources with a major share in cash receipts.
Chart 2
Main sources of cash receipts in licensed banks vaults and their monthly dynamics
At the same time, in November 2022, the volume of cash receipts amounted to MDL 14,128.6 million (-0.1% compared to October 2022 and +1.4% compared to November 2021).
The volume of cash releases from licensed banks vaults in January-November 2022 increased by 12.5% compared to the similar period of the previous year and amounted to MDL 157,833.6 million (Chart 3).
Chart 3.
Main purposes of cash releases from licensed banks vaults and their monthly dynamics4
This increase was mainly determined by releases from ATM with a significant share of 22.3% of the total volume of cash releases, which increased in January-November 2022 by MDL 8,236.9 million (or +30.5%) as compared to the similar period of the previous year as well as the volume of releases from individuals’ accounts5, which amounted to MDL 37,649.7 million that represents 23.9% of the total volume of cash releases registering an increase of MDL 5,804.8 million (or +18.2%).
The purchase of currency from individuals constituted MDL 42,524.9 million (equivalent to USD6 2,254.8 million), having a share of 26.9% of the total volume of cash releases.
In November 2022, the volume of cash releases amounted to MDL 14,798.8 million, which is more than the volume of cash receipts by MDL 670.2 million. Compared to October 2022, cash releases decreased by MDL 312.1 million or by 2.1%.
1. Currency in circulation (M0) represents circulating cash issued by the National Bank of Moldova, except for cash in banks and NBM vault.
2. Volume of cash operations includes transactions with commemorative coins.
3. Recalculated using the official average exchange rate calculated for that period.
4. Aggregate data may not correspond exactly to the sum of the components due to mathematical rounding.
5. Current, deposit and card accounts are included.
6. Recalculated using the official average exchange rate.
