The European Central Bank published its latest euro area monetary developments, showing that annual growth in the broad monetary aggregate M3 increased to 3.3% in June from a revised 3.0% in May. By contrast, credit growth was stable: adjusted loans to households held at 3.0% and adjusted loans to non-financial corporations held at 4.0%. The narrower aggregate M1, which includes currency in circulation and overnight deposits, slowed to 3.4% from 3.7%. The pickup in M3 reflected stronger growth in short-term deposits other than overnight deposits, which rose to 2.8% from 1.4%, and in marketable instruments, which rose to 4.5% from 3.2%, while M1's contribution to M3 growth eased. Among deposit holders, household deposit growth slowed to 2.6% from 2.8%, while deposits by non-financial corporations accelerated to 5.3% from 4.2% and deposits by investment funds other than money market funds rose to 1.6% from -0.6%. On the counterparts side, claims on the private sector remained the main positive driver of M3 growth at 3.1 percentage points, while the contribution from net external assets increased to 2.2 percentage points from 1.9 percentage points. Total claims on euro area residents grew 2.4%, unchanged from May, and adjusted loans to the private sector as a whole also held steady at 3.9%.
European Central Bank2026-07-27
European Central Bank reports euro area M3 growth rose to 3.3% in June while household and corporate loan growth was unchanged
The European Central Bank said euro area broad money growth strengthened in June, with annual M3 growth rising to 3.3% from a revised 3.0% in May. Adjusted lending growth was unchanged, with loans to households at 3.0% and loans to non-financial corporations at 4.0%. The increase in M3 was driven mainly by stronger growth in short-term deposits other than overnight deposits and in marketable instruments.