4373_not-searchable
/en/bank-og-finansmarked/statistikker/m2/maaned
4373
Reduced growth in money supply
statistikk
2009-01-07T10:00:00.000Z
Banking and financial markets
en
m2, The money supply M2, money, notes and coins, assetsFinancial indicators, Banking and financial markets
false

The money supply M2, November 2008

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Reduced growth in money supply

The twelve-month growth in total money supply was 6.1 per cent to end-November, down from 6.5 per cent to end-October. Most of the increase in the M2 growth came from non-financial enterprises.

The money supply amounted to NOK 1 489 billion at end-November, down from NOK 1 500 billion at end-October. After a rise in previous month the money supply growth drops again.

Money supply (M2) - growth

Negative money supply growth in non-financial enterprise

Non-financial enterprise money supply amounted to NOK 507 billion at end-November. The twelve-month growth was -0.9 per cent, down from 0 per cent to the previous month. The twelve-month growth rate has not been lower since August 2002. Apart from April the growth rate was decreasing through the whole 2008 from at 21.3 per cent at the beginning of the year. Non-financial enterprise money supply constituted 42 per cent of their gross domestic debt measured by the credit indicator C2 at end-November.

Declining growth for other financial enterprise money supply

The twelve-month growth for other financial enterprise money supply (other than state lending institutions, banks and money market funds) was 29.2 per cent in November down from 32.5 per cent in October. Other financial enterprise money supply amounted to NOK 155 billion at end-November.

Municipal government pulls up the growth

The municipal sector contributed to pull up the growth in total money supply. The twelve-month growth was -1.2 per cent, up from -4.2 per cent in the previous month. Municipalities’ money supply amounted to NOK 51 billion at end-July.

Monetary aggregates, growth (per cent)
(Corrected 07.01.2009 at 11.00 a.m.)
  Jun 2008 Jul. 2008 Aug. 2008 Sep. 2008 Oct. 2008 Nov. 2008
M0 - 12 mth. 17.7 4.2 16.4 21.6 59.8  115.8
M1 - 12 mth. 3.4 1.6 2.8 -2.5 -4.2 -4.5
M2 - 12 mth. 8.8 8.4 8.2 5.5 6.5 6.1
M2 - 3 mth. moving average 1.2 3.6 3.5 7.7 6.0  
M2 households - 12 mth. 8.6 8.1 8.0 6.9 7.5 7.7
M2 non-financial enterprises - 12 mth. 4.2 3.9 3.6 2.4 0.0 -0.9

Composition of money supply

The broad monetary aggregate M2 amounted to NOK 1 489 billion at end-November, of which the major part (89 per cent) consisted of bank deposits. In comparison, notes and coins only accounted for 3 per cent of the broad money. The rest of the broad money mainly consisted of shares in money market funds (7 per cent), while certificates of deposits accounted for 1 per cent.

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 households, non-financial enterprises, municipalities and financial enterprises other than state lending institutions, banks and money market funds.