The European Central Bank published its latest euro area monetary developments data showing that annual growth in broad money M3 slowed to 2.7% in April 2026 from 3.2% in March. Narrow money M1 also eased, with annual growth falling to 3.8% from 4.7%. On lending, adjusted loans to households were unchanged at 3.0%, while adjusted loans to non-financial corporations rose to 3.4% from 3.2%. The composition of money growth shifted as short-term deposits other than overnight deposits returned to positive growth at 0.8% from -0.1%, while marketable instruments slowed to 1.1% from 4.2%. M1 contributed 2.4 percentage points to M3 growth, down from 3.0 percentage points in March. On the balance sheet counterparts, lower contributions from claims on the private sector and net external assets, together with a negative contribution from claims on general government, weighed on M3 growth. Total claims on euro area residents slowed to 2.0% from 2.4%, claims on general government fell to -0.4% from 0.4%, and adjusted loans to the private sector were unchanged at 3.5%.
European Central Bank2026-06-01
European Central Bank reports euro area M3 growth slowed to 2.7% in April while corporate loan growth edged up
The European Central Bank reported that annual growth in broad money M3 in the euro area slowed to 2.7% in April 2026, with narrow money M1 growth easing to 3.8%. Adjusted loans to households were stable at 3.0%, while adjusted loans to non-financial corporations increased to 3.4%. The deceleration in M3 reflected lower contributions from M1, claims on the private sector and net external assets, and a negative contribution from claims on general government.