China's M2 Growth Hits Six-Year Low of Up 14.7% in July

Aug. 15, 2011 (China Knowledge) - China's M2, a broad measure of money supply, was RMB 77.29 trillion at the end of July this year, up 14.7% compared with a year ago and reflecting the lowest growth in six years, according to statistics released by the People's Bank of China.

M1, which includes deposits in withdrawal-on-demand accounts and cash in circulation, had risen 11.6% year on year to RMB 27.06 trillion at the end of July.

M0, or cash in circulation, had increased 14.3% from a year earlier to RMB4.52 trillion at the end of last month.

The central bank also said that the country's new RMB-denominated loans were RMB 492.6 billion in July, RMB 25.2 billion less than in the same month of last year. China saw its outstanding RMB loans had grown 16.6% year on year to RMB 51.9 trillion at the end of July.

As of the end of last month, the country's outstanding RMB deposits had increased 16.3% year on year to RMB 77.97 trillion. In July, the country's outstanding RMB deposits decreased by RMB 668.7 billion.