The money supply M2, December 2014

The total money supply amounted to NOK 1 984 billion at end-December last year, up from NOK 1 952 billion at end-November.

Increasing growth in money supply for households

Households’ money supply constitutes more than half of the total money supply. At end-December it accounted for NOK 1 109 billion, up from NOK 1 087 billion at end-November. The twelve-month growth in households’ money supply was 7.2 per cent to end-December, up from 6.9 per cent the previous month.

The growth in households’ money supply was higher than the growth in households’ gross domestic debt, which amounted to 6.2 per cent to end-December according to the credit indicator C2.

Unchanged growth of money supply for non-financial corporations

Non-financial corporations’ money supply amounted to NOK 627 billion at end-December, up from NOK 610 billion at end-November. The twelve-month growth was 4.3 per cent to end-December, unchanged compared to the previous month. Non-financial corporations’ money supply constituted 32 per cent of the total money supply at end-December.

Decreasing money supply growth for municipal government

Municipal government’s money supply amounted to NOK 70 billion at end-December, down from NOK 84 billion the previous month. The twelve-month growth rate was -1.4 per cent to end-December, down from 4.4 per cent to end-November.

Decreased money supply growth for other financial corporations

Other financial corporations’ money supply amounted to NOK 178 billion at end-December, up from NOK 171 billion at the end of the previous month. The twelve-month growth was

-7.2 per cent to end-December, down from -3.4 per cent the previous month.

Steady composition of money supply

The composition of the money supply remains steady. The broad monetary aggregate M2 amounted to NOK 1 984 billion at end-December, of which the major part, 94 per cent, consisted of bank deposits. In comparison, notes and coins accounted for 2.4 per cent. The rest of the broad monetary aggregate consisted of shares in money market funds and certificates of deposits, which accounted for 3.5 and 0.1 per cent respectively.

Decreased growth in base money

Base money (M0) amounted to NOK 131 billion at the end of December, up from NOK 98 billion at the end of November. The twelve-month growth in M0 was at 1.6 per cent to end-December, down from 5.1 per cent the previous month.