• Annual growth rate of broad monetary aggregate M3 increased to 7.7% in October 2021 from 7.5% in September (revised from 7.4%)
  • Annual growth rate of narrower monetary aggregate M1, comprising currency in circulation and overnight deposits, decreased to 10.7% in October from 11.1% in September
  • Annual growth rate of adjusted loans to households stood at 4.1% in October, unchanged from previous month
  • Annual growth rate of adjusted loans to non-financial corporations increased to 2.5% in October from 2.1% in September

Components of the broad monetary aggregate M3

The annual growth rate of the broad monetary aggregate M3 increased to 7.7 % in October 2021 from 7.5 % in September, averaging 7.7 % in the three months up to October. The components of M3 showed the come developments. The annual increase rate of the narrower aggregate M1, which comprises currency in circulation and nightlong deposits, decreased to 10.7 % in October from 11.1 % in September. The annual growth rate of short-run deposits other than overnight deposits ( M2-M1 ) was -1.6 % in October, compared with -2.5 % in September. The annual growth pace of marketable instruments ( M3-M2 ) increased to 11.1 % in October from 6.8 % in September .

Chart 1

monetary aggregates
( annual growth rates )

Data for monetary aggregates
Looking at the components ‘ contributions to the annual increase rate of M3, the narrower aggregate M1 contributed 7.6 share points ( down from 7.8 percentage points in September ), short-run deposits early than overnight deposits ( M2-M1 ) contributed -0.4 share point ( up from -0.6 share decimal point ) and marketable instruments ( M3-M2 ) contributed 0.6 percentage point ( up from 0.3 percentage charge ).

From the position of the holding sectors of deposits in M3, the annual growth rate of deposits placed by households decreased to 6.5 % in October from 7.0 % in September, while the annual growth rate of deposits placed by non-financial corporations increased to 7.4 % in October from 7.1 % in September. finally, the annual emergence rate of deposits placed by non-monetary fiscal corporations ( excluding indemnity corporations and pension funds ) increased to 18.2 % in October from 14.9 % in September .

Counterparts of the broad monetary aggregate M3

As a contemplation of changes in the items on the monetary fiscal institution ( MFI ) consolidated balance wheel sheet early than M3 ( counterparts of M3 ), the annual growth rate of M3 in October 2021 can be broken down as follows : accredit to general government contributed 4.3 share points ( down from 4.5 share points in September ), credit to the private sector contributed 3.7 share points ( up from 3.4 percentage points ), longer-term fiscal liabilities contributed 0.2 share point ( down from 0.3 percentage point ), net external assets contributed -0.8 share point ( up from -1.0 share point ), and the remaining counterparts of M3 contributed 0.4 percentage sharpen ( up from 0.3 share point ) .

Chart 2

contribution of the M3 counterparts to the annual emergence rate of M3

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( percentage points )

Data for contribution of the M3 counterparts to the annual growth rate of M3

Credit to euro area residents

As regards the dynamics of recognition, the annual emergence rate of sum credit to euro area residents stood at 5.6 % in October 2021, unchanged from the previous month. The annual growth rate of credit to cosmopolitan politics decreased to 10.5 % in October from 11.0 % in September, while the annual growth rate of recognition to the secret sector increased to 3.7 % in October from 3.4 % in September.

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The annual increase pace of adjusted loans to the private sector ( i.e. adjusted for lend sales, securitisation and fanciful cash pooling ) increased to 3.4 % in October from 3.2 % in September. Among the borrowing sectors, the annual growth pace of adjusted loans to households stood at 4.1 % in October, unchanged from the previous month, while the annual growth rate of adjusted loans to non-financial corporations increased to 2.5 % in October from 2.1 % in September.

Chart 3

adjust loans to the secret sector
( annual growth rates )

Data for adjusted loans to the private sector

Notes:

  • Data in this press release are adjusted for seasonal and end-of-month calendar effects, unless stated otherwise.
  • “Private sector” refers to euro area non-MFIs excluding general government.
  • Hyperlinks in the main body of the press release and in annex tables lead to data that may change with subsequent releases as a result of revisions. Figures shown in annex tables are a snapshot of the data as at the time of the current release.